Crude oil fell on Friday in New York, on a report of higher than expected fuel inventories this week.

The U.S. energy department reported Wednesday that distillate fuel supplies were 0.6 percent higher than the five-year average. Crude oil inventories are 0.7 percent above the average.

Crude oil futures for January delivery fell $1.98, or 2.19 percent to $88.25 per barrel at 5:08 p.m. on the New York Mercantile Exchange. London Brent crude trading on the ICE Europe Futures exchange fell $1.71, or 1.89 percent to $88.38 per barrel.

Oil is down 12 percent from a record of $99.29 on November 21 amid unstable activity.

A U.S. government report of non-farm payroll released Friday showed higher than expected new jobs -- 94,000 -- for November, according to a Bloomberg survey of 82 economists. The median estimate was 80,000 new jobs.

Crude oil Energy