SULAIMANI (ESTA) — Oil prices dropped on Thursday following weak U.S. payrolls data and some profit taking.
Brent crude futures fell 40 cents to $89.07 a barrel by 0910 GMT, after rising 31 cents on Wednesday.
U.S. West Texas Intermediate (WTI) crude was down 51 cents at $87.75 per barrel, having gained 6 cents the previous day.
“This morning’s dip might be a result of the shockingly low U.S. ADP employment print last night, but we believe the supply squeeze may drive oil prices higher through this year,” Reuters quoted Howie Lee, economist at OCBC in Singapore, as saying.
U.S. private payrolls fell for the first time in a year in January, raising the risk of a sharp decline in employment that would deal a temporary setback to the labour market.
