Oil prices declined on the results of the Organization of Petroleum-Exporting Countries' (OPEC) meeting. According to OPEC sources, the OPEC decided on its meeting today to raise its oil output limit to 31.5 million barrels per day (bpd) from the previous 30 million bpd.

Market participants are also awaiting the release of the number of active U.S. rigs later in the day. The oil driller Baker Hughes reported last Wednesday that the number of active U.S. rigs declined by 9 rigs to 555 this week. It was the lowest level since June 4, 2010.

WTI crude oil for January delivery fell to $40.03 a barrel on the New York Mercantile Exchange.

Brent crude oil for January declined to $43.30 a barrel on ICE Futures Europe.

Gold price rose on a weaker U.S. dollar despite the better-than-expected U.S. labour market data. The U.S. Labor Department released the labour market data on Friday. The U.S. economy added 211,000 jobs in November, exceeding expectations for a rise of 200,000 jobs, after a gain of 298,000 jobs in October. October's figure was revised up from a rise of 271,000 jobs. The U.S. unemployment rate remained unchanged at 5.0% in November, in line with expectations.

Market participants speculate that the normalisation process by the Fed will be slow as the slowdown in the global economy will likely weigh on the U.S. economy.

December futures for gold on the COMEX currently traded at 1085.10 dollars per ounce.

The U.S. Labor Department released the labour market data on Friday. The U.S. economy added 211,000 jobs in November, exceeding expectations for a rise of 200,000 jobs, after a gain of 298,000 jobs in October. October's figure was revised up from a rise of 271,000 jobs.

The increase was partly driven by a rise in construction, professional and technical services, and health care. Health care sector added 32,200 jobs in November, professional and business services sector added 27,000 jobs, while construction added 46,000.

The manufacturing sector lost 1,000 jobs in November, while mining sector shed 11,000 jobs.

The U.S. unemployment rate remained unchanged at 5.0% in November, in line with expectations.

Average hourly earnings rose 0.2% in November, in line with forecasts, after a 0.4% increase in October.

The labour-force participation rate increased to 62.5% in November from 62.4% in October.

These figures indicate that the Fed will likely raise its interest rate this year.

West Texas Intermediate futures for January delivery climbed to $41.28 (+0.49%), while Brent crude is currently at $43.97 (+0.30%) before OPEC members hold a meeting in Vienna later today.

Most analysts don't expect any positive changes from the meeting. Saudi Arabia is likely to hold on to its strategy and maintain output ignoring non-Gulf OPEC members' calls to reduce production in order to support prices.

A survey by Bloomberg showed that the cartel exceeded its 30 barrels per day production target by 2.1 million bpd in November. Meanwhile the Wall Street Journal said that according to an internal OPEC document, a return to the 30 million barrels per day output "would not be sufficient to completely clear the current supply overhang" because of large inventories.

Gold is currently at $1,061.10 (-0.01%) as investors await the U.S. payrolls report due later today. Market participants believe that the Federal Reserve will raise its interest rates at the December 15-16 meeting and only disappointing employment data can lower these expectations.

Yesterday the precious metal stepped away from a multi-year low after the European Central Bank stimulus adjustments fell short of expectations. The euro rose after the ECB meeting sending the dollar to a one-month low against the basket of major currencies and contributing to bullion's gains.

Nevertheless gold is under pressure ahead of today's jobs data and the FOMC meeting later this month.

(raw materials / closing price /% change)

Oil 41.27 +0.46%

Gold 1,061.10 -0.01%