The price of Brent crude, a global benchmark, was down 0.2 percent at $69.73 a barrel on London's Intercontinental Exchange, while on New York's Mercantile Exchange, West Texas Intermediate (WTI) crude futures CLc1 were unchanged at $64.30 a barrel, according to the Wall Street Journal.
Growing signs of a tightening market after a three-year rout have bolstered confidence among traders and analysts.
A production-cutting pact between the Organization of the Petroleum Exporting Countries, Russia and other producers has given a strong tailwind to oil prices, with both benchmarks last week hitting levels not seen since December 2014. The catalyst behind this move was another weekly decline in crude oil supply.
On the supply side, the extension of the OPEC-led production curbs helped provide a floor for prices in November, when the cartel and a handful of other producers, including Russian Federation, agreed to keep their supply cuts going through this year.
Bank of America Merrill Lynch on Monday raised its 2018 Brent price forecast to $US64 a barrel from $US56, forecasting a deficit of 430,000 barrels per day (bpd) in oil production compared to demand this year.
Other factors, including political risk, have also supported crude. The total rig count rose 752 in the week to January 12, the most since September, General Electric's Baker Hughes energy services firm said in its closely followed report on Friday.
That was the biggest increase since June 2017.
United States crude oil production averaged 9.3 million barrels per day in 2017 and as prices rise the higher-cost producers begin to realise profits and raise production levels.
Vienna-based consultancy JBC Energy expects U. "From a fundamental perspective, the surge in USA managed money raises a clear red flag for us".
The Baker Hughes data shows that the increase in USA drilling lasted 14 months before stalling in the second half of a year ago as some producers trimmed their 2017 spending plans after prices turned softer over the summer.
Major oil producing-countries have grown concerned that as prices remain near these levels, it will spur additional production from USA shale plays, risking overwhelming the market with additional supply, and hurting OPEC's market share.
"Given the current strength in prices, it is no surprise that we are seeing a pickup in rig activity", said Khan at ING.