(Corrects Brent price in paragraph 3 to $37.71, from $17.71)
By Henning Gloystein
SINGAPORE, Dec 28 (Reuters) - Oil prices fell on Monday after the long Christmas weekend, with U.S. crudes defending a newly gained premium over internationally traded Brent contracts.
Front-month U.S. West Texas Intermediate (WTI) futures CLc1 were trading at $37.91 per tonne at 0015 GMT, down 19 cents from their last settlement.
Brent LCOc1 was down 18 cents at $37.71 a barrel, meaning that U.S. crude defended a premium it gained over the globally traded benchmark last week.
"Markets are generally weak, so the trend remains for lower prices, but do watch out for sharp moves in the low liquidity days between Christmas and New Year," one oil trader said.
The U.S. market tightened in December following reduced drilling activity, a dip away from record stockpiles and the prospect of crude exports following a 40-year export ban. urn:newsml:reuters.com:*:nL3N14D1F1
At the same time, international markets remain over supplied as producers like Russia and the Organization of the Petroleum Exporting Countries (OPEC) produce between half a million and 2 million barrels of crude every day in excess of demand.
At the same time, developed and emerging economies especially in Asia are slowing.
Japan's industrial output fell 1.0 percent in November from the previous month, government data showed on Monday, suggesting that sluggish emerging market demand continues to cloud the outlook for the economy. urn:newsml:reuters.com:*:nT9N0WC05E