WASHINGTON (dpa-AFX) - Oil prices climbed higher on Monday on fairly buoyant Chinese economic data, and on possible supply disruptions due to rising tensions on the geopolitical front.
However, oil's upside was just marginal, as investors awaited the upcoming meeting of the Organization of Petroleum Exporting Countries and their allies, collectively known as OPEC+, and some crucial economic data, including reports on U.S. private sector and non-farm payroll employment.
The oil cartel, scheduled to meet on Thursday, is expected to decide whether to push back a plan to begin returning 2.2-million barrels per day of production cuts to the market with monthly additions of 180,000 bpd beginning in January. According to reports, the group is likely to delay the move.
West Texas Intermediate Crude oil futures for January ended up by $0.10 or about 0.15% at $68.10 a barrel.
Brent crude futures settled at $71.83 a barrel, down slightly from previous close.
Investors were also reacting to reports about the likelihood of Saudi Arabia reducing crude prices for Asian purchasers next month.
The manufacturing sector in China continued to expand in November, and at a faster pace, the latest survey from Caixin revealed on Monday with a manufacturing PMI score of 51.5.
That's up from 50.3 in October, and it moves further above the boom-or-bust line of 50 that separates expansion from contraction.
Meanwhile, the Institute for Supply Management released a report showing its reading on U.S. manufacturing increased by more than expected in the month of November but continued to indicate a contraction.
The ISM said its manufacturing PMI rose to 48.4 in November from 46.5 in October, although a reading below 50 still indicates contraction. Economists had expected the index to inch up to 47.5.
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