US benchmark West Texas Intermediate for October delivery fell 17 cents to USD 46.58 while Brent crude for October eased 16 cents to USD 50.52 in late-morning trade.
The dollar held pole position in Asia on Friday as bulls wagered a looming US jobs report would add to the chance of rate hikes there, even as the European Central Bank embarks on a trillion euro campaign of bond-buying.
The euro hit a nearly nine-year low versus the dollar on Monday as investors bet on quantitative easing by the European Central Bank while Asian shares were subdued as soft manufacturing surveys soured the mood.
US stocks edged up in a volatile session on Thursday, with the Dow and S&P 500 hitting fresh record closing highs on an indication that the European Central Bank would take more policy action if needed to boost a struggling euro zone economy.
A decline in euro zone inflation to a five-year low in August amplified dovish comments by ECB president Mario Draghi at the Jackson Hole central bankers` meeting.
Economists expect 170,000 jobs to have been added to the US economy in May and the unemployment rate to hold at an almost 4-1/2-year low of 7.5 percent
The euro slumped against the dollar on the prospect of negative deposit rates after the European Central Bank cut interest rates to an all-time low on Thursday, a move that along with U.S. economic data lifted Wall Street stocks.
While ECB president Mario Draghi's encouraging comments that he is prepared for whatever is needed to preserve the euro and act on surging bond yields cheered markets across the globe, Richard Ross, Global Technical Analyst at Auerbach Grayson stated that markets need to see some action which would help sustain a trend.
Global markets enthused by Draghi speak (at an investment conference in London) on Thursday.