Investing.com - Oil prices edged lower in holiday-thinned North American trading on Monday, as concern over rising U.S. shale output offsets production cuts by OPEC and non-OPEC members.
The U.S. West Texas Intermediate crude July contract shed 8 cents, or around 0.2%, to $49.72 a barrel by 8:30AM ET (1230GMT).
Elsewhere, Brent oil for August delivery on the ICE Futures Exchange in London dipped 9 cents to $52.42 a barrel.
Financial markets in the U.S. are closed for the Memorial Day holiday. U.K. and Chinese markets are also off for a holiday, resulting in light trading volumes.
Oil ministers from the Organization of Petroleum Exporting Countries and other major producing countries, such as Russia, agreed to extend supply cuts of 1.8 million barrels per day until the end of the first quarter of 2018 last week.
While OPEC's move had been widely expected, some oil market investors had hoped producers would agree to longer or deeper cuts to drain a global glut of crude supplies.
So far, the production-cut agreement has had little impact on global inventory levels due to rising supply from producers not participating in the accord, such as Libya and Nigeria, and a relentless increase in U.S. shale oil output.
Data from energy services company Baker Hughes showed on Friday that U.S. drillers last week added rigs for the 19th week in a row, the longest such streak on record, implying that further gains in domestic production are ahead.
The U.S. rig count rose by 2 to 722, extending an 11-month drilling recovery to the highest level since April 2015.
Elsewhere on Nymex, gasoline futures for July held steady at $1.625 a gallon, while July heating oil dipped 0.3 cents to $1.564 a gallon.
Natural gas futures for July delivery sank 8.2 cents to $3.228 per million British thermal units.