Oil prices have slipped but still rallied near nine-week highs with the support from falling rig counts and strong jobs data in the US, but the market remained oversupplied due to higher production from the Organization of the Petroleum Exporting Countries (OPEC).
Global benchmark Brent crude futures fell by 17 cents to $52.25 a barrel, while the US crude futures lost 15 cents to reach $49.43 per barrel, reported Reuters.
CMC Markets chief market strategist Michael McCarthy told the news agency that big draw downs in the US supplies are necessary for the WTI prices to rise above $50 a barrel.
The US Labor Department said in its monthly jobs report that last month, employers added 209,000 workers and increased wages.
The number of oil rigs was also down by one, bringing the total to 765, according to energy services firm Baker Hughes.
However, the oil market remained under pressure due to rising output.
According to a report by Thomson Reuters Oil Research last week, OPEC's crude oil exports increased to 26.11 million bpd last month, a significant amount of which was exported from Nigeria.
Libya, another OPEC nation exempted from the oil-curb deal, is currently facing a gradual shutdown of its Sharara oilfield after its control room closed.
In order to discuss ways to improve compliance level among member countries, the joint OPEC and non-OPEC technical committee are set to meet in Abu Dhabi.