Oil prices were little changed in thin trade on Friday, with investors focusing on talks aimed at averting a Greek debt default.

Brent crude for August delivery was up 20 cents at $63.40 a barrel by 0200 GMT, after ending the previous session down 29 cents, or 0.5 per cent.

US crude for delivery in August slipped 5 cents to $59.65 a barrel, after finishing Thursday down 57 cents, or almost 1 per cent.

“Traders and investors are very much on tenterhooks on the outcome (of talks on Greece),’’ said Ben Le Brun, market analyst at OptionsXpress in Sydney.

Euro zone finance ministers are due to meet on Saturday in a last ditch attempt to clinch a debt deal with Greece to avoid a $1.6 billion default by Athens to the International Monetary Fund next Tuesday and a Greek exit from the euro.

That comes after Greece failed to finalise a cash-for-reform pact in the latest round of talks with its lenders on Thursday, although European Parliament President Martin Schulz said an agreement between Athens and its creditors would be found.

“Negative sentiment stemming from ample US crude inventory and record production weighed on investors (after oil prices fell on Thursday),’’ ANZ analysts said in a note on Friday.

“Price volatility slipped to the lowest in the past seven month.’’

US crude faces pressure from a largest than expected build in gasoline and distillate stocks last week, Le Brun said. But he noted that Greece would be Asian traders’ main focus on Friday.

“The market is looking to the week-end at the euro zone meetings now. There is a lot to play for this week-end.’’

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