WTI drops on profit-taking, ignores rebound in China oil demand

Oil futures on NYMEX fell back in the red zone on the final trading day of the week, snapping a temporary rebound seen a day before.

Oil awaits US rigs count data

Currently WTI trades -0.50% lower at 52.72, having faced rejection just below 53 mark. Oil prices dropped in the Asian trades, mainly driven by a profit-taking slide, as the investors head into the Christmas/ New-Year celebrations.

The black gold also ignored reports of rising Chinese oil demand, and turns lower amid risk-off market profile, as reflected by negative Asian equities and rising VIX futures.

Reuters reported late-Thursday; China's November crude oil imports from Saudi Arabia jumped nearly 30 percent from the year before. China's total crude oil imports in November were up 18.3 percent on the year at 7.87 million bpd, rebounding strongly from October.

Focus now remains on the US rigs count data due later in the NA session, which will throw fresh light on the supply outlook going forward.

WTI technical levels

A break above $ 53 (zero figure) could yield a test of daily R1 at 53.40. While a breach of support at $52 (round number) would expose the Dec 19 low of $51.51.