Having stalled its relief-rally near $ 44.70, oil futures on NYMEX resumed its bearish streak and went on to hit fresh eight-day lows of $ 43.73, as abundant US and OPEC supplies combined with high drilling activity continue to dampen the sentiment around oil markets.
Data from Baker Hughes energy Services Company released on Friday, showed that the US energy firms added seven oil drilling rigs last week, marking a 24th week of increases out of the last 25 and bringing the total count up to 763, the most since April 2015, Reuters reported.
Meanwhile, the pullback seen in the black gold can be largely seen as corrective in nature after the prices slumped 3% last Friday. Next of relevance for the commodity is the US weekly crude stockpiles report due later this week, which will provide fresh direction on oil prices.
At the time of writing, WTI drops -0.84% to $ 43.86, while Brent also slides -0.75% to 46.38 levels.
WTI technical levels
Higher side: $ 44.66 (daily top), $ 45 (zero figure), $ 45.42 (Jul 7 high)
Lower side: $ 43.67 (Jun 28 low), $ 43 (key support), 42.26 (Jun 22 low)