Oil rose on Friday, after a larger-than-expected increase in U.S. unemployment figures triggered falls in the U.S. dollar.
U.S. crude was $1.48 up at $105.31 a barrel by 1340 GMT. London Brent crude was up $1.28 at $103.80.
"The payrolls data was initially supportive as the dollar weakened," said Eric Wittenauer, analyst at Wachovia Securities.
But he also drew attention to concerns over weakening U.S. demand for oil, particularly when gasoline supplies look robust ahead of summer driving season in the world's top energy consumer.
The U.S. employment data showed that employers cut payrolls for the third month in a row in March, axing 80,000 jobs in the biggest monthly decline in 5 years. Economists had expected a decline of 60,000 jobs.
The dollar fell after the data, while gold rose.
The dollar's weakness has boosted oil and other commodities denominated in the currency as investors pour money into these asset classes to hedge against inflation.
"Crude oil has already had an amazing run that has realized a great deal of its upward potential, leaving it at an increased risk of a substantial decline," Tim Evans, an analyst at Citigroup, said in a report on Friday.
"Weak U.S. demand for petroleum has become a consistent market feature."
Recently revised monthly data for January showed U.S. oil demand was even weaker than initially reported, with the new figure standing at 20.1 million barrels a day, which was 2.2 percent less than in January 2007, Citigroup noted.
The January figure was the lowest monthly demand level since April 2005, it added.
U.S. oil consumption is falling as soaring energy prices trouble consumers already hit by a credit crunch and housing slump.
U.S. crude has climbed $40, or 63 percent, in the last year, boosted by long-term supply constraints, the weak dollar and booming demand from emerging markets such as China.
In Nigeria, Royal Dutch Shell said on Friday that it had put out a fire at a major oil export pipeline five days after it started, and that output and exports were unaffected.