Crude oil prices dropped on Friday as traders another dismal jobs report lowered the expectations for energy demand. With the decline, crude returned some of its gains from yesterday's session.
Light sweet crude oil for May delivery moved to $51.86, down 78 cents on the session. Prices jumped nearly 9% on Thursday.
In the economic news of the day, a Labor Department report showed that non-farm payroll employment fell by 663,000 jobs in March following an unrevised decrease of 651,000 jobs in February. The drop in jobs came roughly in line with economists' expectations of a decrease of 658,000 levels.
With the continued decrease in jobs, the unemployment rate rose to 8.5 percent in March from 8.1 percent in the previous month, in line with expectations. With the increase, the unemployment rate rose to its highest level since November of 1983.
Crude oil rallied $4.25 on Thursday amid improved demand prospects as hopes the G20 summit will help pull the world out of the economic crisis.
Wednesday, crude dropped $1.27 as Energy Information Administration data revealed a build in both crude oil and gasoline stockpiles. Prices touched as low as $47.26 a day after touching as high as $50.
U.S. commercial crude oil inventories increased 2.8 million barrels from the previous week. Experts were looking for a build of about 3 million barrels. Total motor gasoline inventories increased 2.2 million barrels last week. A drop of about 1.5 million barrels was expected.
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