Oil prices came in under heavy pressure following the comments from Alexander Novak and once again fell below $49, erasing all of its daily gains. At the moment the barrel of WTI is retreating 0.85% at $48.85.

No extension?

On Friday, Russian energy minister Alexander Novak said that it's too early to talk about an extension of OPEC deal and they would have to wait until the end of the quarter to make a decision on the production pact, pouring cold water on the expectations.

NFP data

According to the report published bu the Labor Department, U.S. employers added jobs at an above-average pace for the second month led by gains in construction and manufacturing. After a 238,000 rise in January, the 235,000 increase in jobs was more than previously estimated. The unemployment rate fell 4.7% while wages grew 2.8% from February 2016.

Although USD seems to be under pressure following the data, market expectations for a rate hike haven't changed. The CME Group FedWatch Tool shows that the March hike probability is at 93% at the moment.

Technicals

A breach of $48.70 (daily low) would aim for $48.67 (200-DMA). On the upside, resistances are lined up at $50 (psychological level), followed by $52 (psychological level) and $54.23 (Feb.28 high).