Crude-oil futures extended losses in Asian trade Friday as gloomy oil-demand growth forecasts by energy agencies offset positive economic data from the U.S.
On the New York Mercantile Exchange, light, sweet crude futures for delivery in May traded at $93.09 a barrel at 0713 GMT, down $0.42 in the Globex electronic session. May Brent crude on London's ICE Futures exchange fell $0.19 to $104.08 a barrel.
On Thursday, the International Energy Agency joined the Organization of the Petroleum Exporting Countries and the Energy Information Administration in cutting forecasts for world oil-demand growth this year.
The Paris-based IEA, which represents some of the world's largest oil-consuming countries, cut its forecast for 2013 oil-demand growth by 25,000 barrels a day to 90.6 million barrels a day due to falling fuel use in industrialized regions like Europe.
Additionally, if U.S. bond purchases moderate later this year, it will result in a stronger dollar and downside risks to oil prices, analyst Barnabas Gan at Singapore's OCBC Bank said in a note.
He downgraded his pricing forecasts for Nymex and Brent crude to $95 a barrel and $105 a barrel, respectively, by the end of the year on the back of an oil supply surplus and a stronger U.S. dollar.
Oil markets will look to Chinese economic data Monday, including growth numbers for the first quarter, which may indicate the trend of oil-demand growth.
China's oil demand was likely weak in February due to the Lunar New Year holiday, and it may now move to restock its crude-oil inventories after five straight months of drawdowns, Deutsche Bank said in a note to clients.
"Asia's crude demand should generally pick up in the following months, after a particularly heavy refinery maintenance program" in the region, it added.
On the geopolitical front, a new U.S. intelligence assessment said North Korea may have developed a nuclear device small enough to be mounted on a ballistic missile, but its "reliability would be low." The G-8 nations Thursday threatened tougher sanctions on North Korea if it carried out further nuclear tests.
The U.S. Treasury Department has also targeted Swiss-based Iranian oil-trading company Naftiran Intertrade Co., Malaysia's First Islamic Investment Bank and an Iranian businessman for transferring billions of dollars on behalf of Iran.
Nymex reformulated gasoline blendstock for May--the benchmark gasoline contract--rose 116 points to $2.8426 a gallon, while May heating oil traded at $2.9001, 10 points higher.
ICE gasoil for May changed hands at $874.75 a metric ton, down $7.25 from Thursday's settlement.
