Crude oil futures stable during Asian trading, awaits fresh cues

Crude oil futures were largely stable during mid-morning trade in Asia as markets digested some supply side news emerging from the US and Oman while waiting for fresh price cues.

Baker Hughes in its weekly rig count data report released Friday showed that the number of active US oil rigs for the week ended December 14 were down four to 873. The total active U.S. rig count, which includes oil and natural-gas rigs, was also down by four at 1,071, the data showed.

According to data released by S&P Global Analytics on Thursday, the number of total active oil and natural gas rigs fell by seven to 1,172 for the week ended December 14.

"Even a fall in the rig count couldn't dispel these concerns, " ANZ analysts said in a note on Monday, referring to overall market concerns about oversupply and poor economic growth.

Meanwhile, crude production in Oman reached a two-year high for the second consecutive month in November, averaging at 1 million b/d, up from 995,300 b/ in October, according to data released by the oil ministry on Sunday.

The data arrives as Oman, part of the OPEC-Non-OPEC coalition, agrees to cut global supply in a bid to claw back prices which have dropped substantially this year as a result of rising supply and slower-than-expected demand growth.

Elsewhere, risk sentiment related to trade tensions between the US and China improved, as Unipec, China's biggest importer of US crude, will resume imports of US crude "very soon", a senior executive told Platts late last week.

Although the 90-day trade war truce was announced by the Trump administration at the beginning of December, the Chinese government has yet to finalize the specifics with the respective State Owned Enterprises in charge of different commodities.