Oil prices have fallen marginally due to strong US dollar but continued to hold most of the gains procured, following reports suggesting that the crude market is gradually rebalancing.
London Brent crude delivery for November slipped 8¢ to $56.78 a barrel, while the US crude fell roughly 15¢ to a value of $50.51 per barrel, reported Reuters.
The dollar index also grew by 0.2% against several currencies, which led to an increase in pressure on oil prices.
Last week also saw a meeting in Vienna, Austria, between the Organization of the Petroleum Exporting Countries (OPEC), Russia and other crude producers who participated in the deal to reduce production by 1.8 million barrels per day (bpd) since the beginning of this year.
Following the meeting, Kuwait Oil Minister Essam al-Marzouq said that output curbs are gradually reducing the global crude stocks to five-year average.
No decision was taken during the meeting to extend the deal, which is currently scheduled to end in March 2018.
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Iran stated its intention to maintain overall crude and condensate exports at around 2.6 million barrels per day for the remaining part of this year, while Nigeria reported it will produce less than the agreed output.
The UAE, another key OPEC member, also stated it expects to achieve a compliance rate of nearly 100%.
The impact of the output curbs initially received significant challenge from the rising US shale oil output.
In addition, US energy firms reduced the number of oil rigs for a third consecutive week.