LONDON | Friday, July 8, 2011 6 pm EDT
London (Reuters) - Brent crude fell about $1 Friday before closely watched data from non-farm payroll us, as investors reserved some profits after the previous session data lifted confidence in the global economy and pushed Brent up to $ 5.
ICE Brent crude was down 67 cents to $117.92 a barrel by 1004 GMT after they fell on the day of the low of $117.06. U.S. gross was $ 98.16 per barrel, down 51 cents.
Oil prices are still headed for their second directly weekly gain, with Brent ready to rise about 5 percent this week. Brent is approximately 24% this year.
Brent posted its biggest daily gain of percentage in two months, on Thursday, reaching a maximum of three weeks as U.S. data on jobless claims and retail sales came in higher than expected.
That prompted many economists to raise the forecast for the count of non-farm compensation from the Government because of the later Friday.
"Payroll numbers are absolutely key," said Amrita Sen, analyst at Barclays Capital. "Oil withdraw in May because the macro data are low due to the effects of the earthquake in the Japan, but we would expect to see this rebound in July and August."
She added that retreat Friday was partially until profits after the sharp rise the previous day.
Barclays Capital raised its crude oil Brent forecast Tuesday from $ 10 to $ 115 for 2012, although he left its forecasts unchanged 2011 to $112. JP Morgan, Goldman Sachs and Morgan Stanley have also issued optimistic notes on the Outlook for oil prices this week.
Oil prices have bounced about 10 percent after plunging cuts four months after the International Energy Agency (IEA) reserves shock June 23 announcement that the Member nations would release 60 million barrels of oil.
I said it would consider later this month to release more reserves or not, but do not see program extending more than a month or two.
JP Morgan said in a report that the time of the release of IEA threw a spotlight on the seal to the world's oil supply.
"Cancelled policy, the main reason for which we can see the precise moment of the release of stock I had coincided with clear indications of the traffic data oil that OPEC output would fall short of earlier promises", the Bank said in a report Thursday.
"As such, it is difficult to find anything, except that there is little or no capacity seconded in the oil market."
China, a major oil consumer, this week raised rates for the third time this year in a bid to tame inflation, raising hopes of Government tightening monetary cycle may be near its end.
Annual inflation in the country in June is provided on a maximum of three years approximately 6.3%, according to a survey by Reuters of 28 economists.
Governor of Central Bank of China Zhou Xiaochuan, said Friday the monetary policy of the country needed to support economic growth and controlling inflation.
WATCH STOCK
U.S. inventory data helped keep a lid on prices.
Crude oil inventories fell 889,000 barrels to 358.6 million barrels during the week of July 1, below average forecasts of a levy of 2.3 million barrels, U.S. Energy Information Administration data showed Thursday.
However, stocks of gasoline fell unexpectedly 634,000 barrels to the
212.5 million barrels, compared to the projections of the analyst for a construction of 100,000 barrels.
Distillates, heating and diesel oil posted a fall of 191 000 barrels of surprise to 142.05 million barrels, compared with an increase in forecast of 700,000 barrels in the same way.
(Additional reporting by Stephen Mangan in London and Francis Kan in Singapore)
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