Oil prices fell on Tuesday, extending losses from the previous session, as the inexorable rise in United States crude output weighed on markets.
Crude prices rose on Friday after the US economy added the biggest number of jobs in more than 1-1/2 years in February.
Both crude benchmarks dropped by around 1 percent in their Monday sessions.
Brent crude futures slipped 54 cents, or 0.8 per cent, to settle at US$64.95 per barrel.
"We are maintaining a bearish trading stance in anticipation of a range in nearby WTI between about US$58 and US$63, Jim Ritterbusch, president of Ritterbusch and Associates, said in a note".
That has undercut some of the enthusiasm for oil, as investors weigh increased U.S. supply against the likelihood that the Organization of the Petroleum Exporting Countries and non-Opec producers will maintain supply cuts that have been in effect for more than a year.
New indications of growing USA output come as the Organization of the Petroleum Exporting Countries-which has been holding back output by 1.8 million barrels a day since the start of last year-is divided over how high the price of oil should be. The resulting fallout could drag down crude prices after a rally of more than 40 percent since June, he said.
The Treasury Department will auction $21 billion in 10-year notes on Monday, as well as $28 billion in three-year notes.
But the analyst seems to think this might be a fait accompli, because the OPEC deal is giving "market share to the U.S." via a surge in exports to the coveted Asian market, the traditional bastion of Middle East producers - and that this will encourage some nations to retaliate by boosting supply.
"Nothing really stood out", said Goncalves, head of U.
USA stocks, though, were little changed on Monday, with the S&P 500 up 0.1 points, or 0.00 percent, to 2,786.67.
MSCI's world equity index hit a two-week high, while Hong Kong's Hang Seng Index closed up 1.93 percent. The Dow Jones Industrial Average . fell 157.13 points, or 0.62 percent, to 25,178.61, the S&P 500 . lost 3.55 points, or 0.13 percent, to 2,783.02 and the Nasdaq Composite . added 27.52 points, or 0.36 percent, to 7,588.33.
Emerging market stocks rose 1.21 percent.
Wall Street's main indexes closed up almost 2 percent on Friday on the strength of the jobs report, and have almost reversed declines in recent weeks when investors feared that higher wages might lead to price pressures. Some of the pressure is coming from a recovery in the U.S. Dollar, which could affect foreign demand. S. dollar. The dollar index .
The Japanese yen strengthened 0.37 percent versus the greenback to 106.39 per dollar, while sterling was last trading at $1.3906, up 0.40 percent on the day.