Brent rebound could be tested by US jobs report

• Brent set for 3rd straight weekly decline
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Despite regaining the $80/bbl handle, Brent is on course for its 5th weekly loss in six.

Oil prices have seen a technical rebound in recent sessions to recover from oversold conditions, after the 14-day relative strength index (RSI) dipped below the 30 mark into "oversold" territory.

At the onset of this week, oil bulls relented after OPEC+ surprised markets.

The alliance of oil-producing nations, on Sunday, announced plans to restore some output later this year.

For immediate consideration, oil traders will be closely monitoring today's incoming US jobs report.

• Stronger-than-expected hiring in the world's largest economy could bolster the demand outlook for oil. However, such a scenario may also boost the US dollar and cap oil's potential upside, as markets contend with the prospects of delayed Fed rate cuts.
   
• Weaker-than-expected US jobs data could feed the idea of Fed rate cuts arriving sooner than later. Such a narrative could weaken the dollar and boost Brent prices. Still, a softer jobs market may also show further cracks for US oil demand, leading to softer oil prices as well.

Ultimately, as long as global market dynamics remain tilted towards an oversupply, Brent could find it tough to sustain its presence above the $80/bbl line, leaving oil bears in the driver's seat.