Crude futures steadied on Monday, entering positive territory on demand from bargain hunters, though gains were limited due to ongoing concerns that supply disruptions once feared in Libya and Iraq will never materialize.
In the New York Mercantile Exchange, West Texas Intermediate crude oil for delivery in August traded unchanged at $101.83 a barrel during U.S. trading.
New York-traded oil futures hit a session low of $100.25 a barrel and a high of $100.98 a barrel.The August contract settled down 2.04% at $100.83 a barrel on Friday.
Nymex oil futures were likely to find support at $100.25 a barrel, the session low, and resistance at $104.20 a barrel, last Tuesday's high.
Fears that military conflicts in the Middle East will disrupt supplies have waned, sending oil prices falling in recent sessions, though by Monday investors felt the commodity had fallen too far, which sent prices jumping in and out of positive territory.
Libya recently struck a deal with rebels occupying oil ports under terms that would have insurgents give up control over terminals that have been closed for a year.
The deal should add 500,000 barrels per day of crude back into the global energy market.
Separately, ongoing expectations for the Iraqi insurgency to remain to the north of the country's oilfields also allowed prices to drop.
Elsewhere, on the ICE Futures Exchange in London, Brent oil futures for August delivery were up 0.29% and trading at US$107.57 a barrel, while the spread between the Brent and U.S. crude contracts stood at US$5.74 a barrel.