Oil firm

Reuters

Singapore

Oil prices were stable on Friday, weighed by a stronger dollar, but supported by signs that physical fuel markets were tightening after two years of ballooning oversupply.

The dollar rose to its highest level since March against a basket of other leading currencies on Friday, potentially crimping demand as fuel becomes more expensive for countries using other currencies.

This came as China´s offshore yuan fell to its lowest level in six years against the dollar.  U.S. West Texas Intermediate (WTI) crude was trading at $50.59 a barrel at 0652 GMT, down 4 cents from its last settlement.

Brent crude futures were up 7 cents at $51.45 per barrel. Crude prices fell over 2 percent in the previous session on the back of the soaring dollar. Also weighing on markets was another jump in Chinese diesel and gasoline exports, which have contributed to Asia´s fuel supply overhang as China´s refiners continue to produce more fuel than its domestic market can consume.