Oil retreated near USD 53 a barrel as investors weighed rising US drilling activity against OPEC production cuts that the International Energy Agency estimates achieved a record 90 percent initial compliance rate.
Futures lost as much as 0.9 percent in New York after advancing 3.2 percent over the previous three sessions. Saudi Arabia reduced production by more than it had pledged, while higher demand is helping to rebalance the market, the IEA said Friday. OPEC is due to release its monthly report Monday, offering the group's first update on its progress. In the US, drillers increased the rig count to the highest since October 2015, according to Baker Hughes Inc.