Crude oil futures trimmed losses on Friday, gold was easier, as were other metals as the market concentrated on the message from the strong July jobs report and the 255,000 new positions created (and the extra 18,000 for May and June).
US data showed no fall in domestic production the week before, but the number of US oil rigs rose for a sixth straight week, according to figures from services group, Baker Hughes.
US West Texas Intermediate crude futures fell 13 cents, or 0.3%, to $US41.80 a barrel. That left futures up half a per cent on the week.
In London, Brent crude eased two cents to end at $US44.27 a barrel, a weekly gain of 1.7%.
Baker Hughes said the number of active US oil rigs rose 7 to 381 this week from 374.
While compared with a year ago, the number of rigs remains down by 289, they are up 20% from the low in late May of 316. Figures out last week showed that for the first since March, US oil production didn’t fall last week, even though investors focused on a big fall in petrol stocks. That was not the real message from the weekly stocks and output data.
It wouldn’t surprise if a small rise in weekly US oil output is reported shortly.
The solid US jobs report helped oil rise in early trading, but a subsequent rise by the US dollar sent prices lower by the close.
Meanwhile Comex gold futures fell heavily on Friday in the wake of the US jobs report. In fact gold futures suffered their biggest daily fall in 10 weeks.
Comex December gold gold futures lost $US23, or 1.7%, to settle at $US1,344.40 an ounce, the largest one day fall for the metal since May 24, according to FactSet data.
Comex silver for September delivery plunged 62.6 cents, or 3.1%, to settle at $US19.817 an ounce, marking the metal’s sharpest daily drop since May 19. Silver fell 2.6% over the week.
Elsewhere on Comex, copper for September delivery lost two cents, or 0.9%, to end at $US2.1540 a pound and a touch weaker over the week.
In London, copper for delivery in three months on the London metal Exchange dropped 0.9% to $US4,789 a tonne on Friday, bringing the loss for the week to 2.8%.
That left the LME price up 2.1% for the year so far, a modest rise compared to the 41% surge for zinc and 20% for nickel.
