Oil eases as U.S. drilling activity picks up - Reuters

Oil eases as U.S. drilling activity picks up - Reuters:

Oil prices fell on Monday after an increase in U.S. drilling activity, but held near recent three-month highs on hopes for a trade deal between the United States and China.

Brent crude LCOc1 was down 22 cents, or 0.33%, at $65.92 per barrel by 0742 GMT in thin trading ahead of the Christmas holiday. West Texas Intermediate CLc1 was down 25 cents, or 0.41%, at $60.19 a barrel.

Oil prices have risen since the two nations signed a so-called phase one trade deal earlier this month following months of tit-for-tat negotiations that unsettled markets.

Under a deal due to be signed in January, the United States is expected to agree to reduce some tariffs in return for a big increase in purchases by Chinese importers of U.S. farm products.