Summary New York's main contract, light sweet crude for delivery in Jan shed 59 cents to $86.79 a barrel.
Oil prices fell in Asia Friday in thin trade following the US Thanksgiving holiday, with a truce in Gaza and gloomy eurozone manufacturing data weighing on markets, analysts said.
New York s main contract, light sweet crude for delivery in January shed 59 cents to $86.79 a barrel and Brent North Sea crude for January delivery sank 19 cents to $110.36.
"Oil dipped in thin trade, as a ceasefire in the Gaza Strip eased supply concerns," Phillip Futures said in a report. "Gloomy manufacturing data for Europe" also pulled down prices, he said.
An uneasy peace continued to hold in Gaza after the Egyptian-brokered ceasefire came into effect late Wednesday and halted eight days of conflict between Israel and Hamas.
Israel Prime Minister Benjamin Netanyahu said Thursday his government was "giving the ceasefire a chance" but was prepared for the eventuality it could collapse.
In Europe, a closely-watched survey by research firm Markit showed the troubled region s manufacturing activity in November little changed from lows experienced in October.
Markit s eurozone Purchasing Managers Index (PMI) for the month of November stood at 45.8 points, "up fractionally from 45.7 in October... October s reading had been the lowest since June 2009," the survey s report said.
"For the fourth quarter of 2012 so far, PMI data suggest the strongest contraction of output since the second quarter of 2009."
