Investing.com - Oil prices rose in U .S. trading on Monday after mixed data weakened the U.S. dollar, though soft Chinese factory data capped oil's gains.
A softer greenback firms oil by making the commodity more attractive in dollar-denominated exchanges, especially in the eyes of investors holding other currencies.
In the New York Mercantile Exchange, West Texas Intermediate crude oil for delivery in November traded up 0.60% at $91.62 a barrel during U.S. trading. New York-traded oil futures hit a session low of $89.90 a barrel and a high of $91.83 a barrel.
The November contract settled down 0.53% at $91.37 a barrel on Friday.
Nymex oil futures were likely to find support at $89.56 a barrel, Thursday's low, and resistance at $92.66 a barrel, Friday's high.
Mixed data softened the dollar earlier, which gave oil room to rise despite bearish pressure out of China.
In a report, the Federal Reserve Bank of New York said that its general business conditions index increased to a five-year high of 27.5 this month from 14.7 in August. Analysts had expected the index to rise to 16.0 in September.
A separate report showed that U.S. industrial production fell 0.1% last month, disappointing forecasts for a 0.3% gain. Industrial production for July was revised down to a gain of 0.2% from a previously reported increase of 0.4%.
Gains were seen limited, as a longer-term analysis of U.S. data points to more sustained recovery, which would strengthen the greenback and do away with monetary forces that weaken oil.
Oil prices were weaker earlier after data released on Saturday showed that China's industrial output grew at the weakest pace in nearly six years in August, adding to concerns over a slowdown in the world’s second largest economy.
Industrial production rose at an annualized rate of 6.9% last month, missing estimates for a gain of 8.8% and slowing from an increase of 9.0% in July.
China is the world's second largest oil consumer after the U.S. and has been the engine of strengthening demand.
Separately, on the ICE Futures Exchange in London, Brent oil futures for November delivery were unchanged at US$97.97 a barrel, while the spread between Brent and U.S. crude contracts stood at US$6.35 a barrel.