LONDON--Crude oil futures ticked lower in London Friday morning, with the market positioning itself ahead of the closely-watched U.S. employment report, due for release later in the global day.
At 1000 GMT, the front-month December Brent contract on London's ICE futures exchange is down 27 cents at $107.94 a barrel.
The front-month December light, sweet crude contract on the New York Mercantile Exchange is trading 78 cents lower at $86.31 a barrel.
In a note to clients, Commerzbank said sentiment on the oil market remains muted, although it said that it believes oil prices have fallen too sharply despite a relaxed supply situation, especially in the U.S.
Latest data from Russia shows oil output to be at a post-Soviet high of 10.46 million barrels a day in October, although that must be weighed against a fall in production from the Organization of the Petroleum Exporting Countries in the same month.
Figures from the Commodity Futures Trading Commission, due later Friday, will show how much speculative investors are responsible for the weak prices, Commerzbank said.
On the demand side, the U.S. employment numbers will give an idea of likely call for oil in the world's largest consuming economy. Economists in a Dow Jones Newswires survey expect the U.S. economy to have added 125,000 jobs in October, higher than 114,000 in September.
The ICE's gasoil contract for November delivery is down $3.50 at $938.75 a metric ton, while Nymex gasoline for December delivery is down 11 points at 2.6325 cents a gallon.
