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WSJ:Crude-Oil Futures Rise in Asia; Focus on US Jobs Data
 

By Clementine Wallop

Crude-oil futures rose in Asian trading Friday but prices held in tight ranges ahead of U.S. jobs data.

U.S. nonfarm payrolls data is due at 1230 GMT and is likely to spark a move in oil prices. Weaker-than-expected jobs numbers could increase worries about the health of the world's largest economy but could also bolster hopes the Federal Reserve will continue the bond buying that has been a price support.

New York Mercantile Exchange light, sweet crude futures for delivery in July traded at $94.92 a barrel at 0617 GMT--up $0.16 in the Globex electronic session. July Brent crude on London's ICE Futures exchange rose $0.18 to $103.79 a barrel.

A slightly softer U.S. dollar supported prices but caution ahead of Friday's payrolls limited upside.

Data released earlier this week gave mixed signals on nonfarm payrolls with Thursday's jobless claims below forecasts and an ADP reading on Wednesday showing weakening jobs growth.

There are many short positions--bets prices will fall--in the market. Any move higher could be met with aggressive short covering, Delhi-based Insignia Consultants director Manan Somani said.

"The next week is very crucial for crude oil from a technical perspective," he added.

The upside test for U.S. benchmark West Texas Intermediate lies at $100 a barrel over the next few weeks, he added. However, some analysts say crude's bias is to the downside given oversupply in the U.S.

Futures could be weighed down early next week by any sign of stalling consumption in China trade data due over the weekend.

The spread between Brent crude and WTI was at $8.87 a barrel compared with $8.85 a barrel late Thursday in the U.S.

Nymex reformulated gasoline blendstock for July--the benchmark gasoline contract--rose 9 points to $2.8518 a gallon, while July heating oil traded at $2.8801, 87 points higher.

ICE gasoil for June changed hands at $868.50 a metric ton, up $2.75 from Thursday's settlement.

Write to Clementine Wallop at clementine.wallop@dowjones.com
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