U.S. crude oil price edged up on Friday after choppy holiday trading amid concerns about a worsening European debt crisis scenario, but still posting its second straight weekly loss.
During Thanksgiving holiday, the trading volumes were low, which increased market volatility. U.S. crude trading volume was 67 percent below its 30-day average, while Brent volume was 54 percent lower than its 30-day average.
The European debt crisis kept weighing on the markets. After the credit ratings downgrade of Portugal and Hungary, the news about disagreement inside European leaders fueled investors' fears. Germany Chancellor Angela Merkel affirmed her opposition to issuing euro-zone bonds and a bigger role of the European Central Bank. Uncertainties mounted in tackling the debt problems.
Pressured by debt concerns, the euro fell to its seven-week low against the dollar, pushing the dollar index much higher. A stronger dollar made the dollar-denominated oil more expensive for investors holding foreign currencies and made it less attractive.
But the continuing geopolitical tension over Iran's nuclear program and Egyptian and Libyan unrest kept offering support to oil and limited the losses.
Light, sweet crude for January delivery edged up 60 cents, or 0. 62 percent to settle at 96.77 dollars a barrel on the New York Mercantile Exchange. For this week, it dropped 64 cents, or 0.66 percent.
But in London, Brent crude for January delivery slipped and last traded around 106 dollars a barrel.
