Oil prices retreat

Oil prices retreated Friday, pushed down by excess supplies, but managed a rise over the week thanks to support from geopolitical tensions in the crude-rich Middle East.

At about 1300 GMT, US benchmark West Texas Intermediate for delivery in January was down 94 cents at $42.10 a barrel.

Brent North Sea crude for January dipped 27 cents from Thursday's close to stand at $45.19 a barrel.

This week's oil price falls were capped by the shooting down of a Russian fighter jet on the Syrian border by Turkey.

But reports that Russia is not taking military action against Turkey in retaliation eased fears that the tense situation in the region could escalate and disrupt Middle East oil supplies.

Moscow said retaliatory measures would focus on using its leverage to tighten the screws on Turkey's economy, including halting joint economic projects.

With the global crude supplies still outpacing demand, traders are awaiting next week's OPEC meeting to see if the oil producers' cartel will slash high output levels.

Traders will also be monitoring the upcoming meeting of the US central bank, where policymakers are expected to lift interest rates for the first time in almost a decade.

A hike would likely boost the dollar, making oil priced in the US unit more expensive for holders of weaker currencies.

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