NYMEX crude oil gains in Asia as investors look ahead to China

Investing.com - Crude oil prices gained in Asia early Monday as investors kept a sharp look out for demand cues from China in the week ahead.

On the New York Mercantile Exchange, crude oil for delivery in November traded at $82.70 a barrel, up 0.77%, after ending last week at $82.75 a barrel.

On the ICE Futures Exchange in London Friday, Brent oil for December delivery tacked on 34 cents, or 0.4%, on Friday to settle at $86.16 a barrel by close of trade.

London-traded Brent prices fell to $82.93 on Thursday, the lowest level since December 2010.

Crude oil futures sank to multi-month lows on Thursday as concerns over the global economic outlook and the impact on future demand prospects dampened the appeal of the commodity.

London-traded Brent prices have fallen nearly 26% since June, when it climbed near $116, while WTI futures are down almost 23% from a recent peak of $107.50 in June.

Indications that the Organization of the Petroleum Exporting Countries will not cut output to support oil markets have weighed on prices.

Kuwait lowered official selling prices to Asian buyers in an effort to retain its market share last week, following similar moves from core OPEC members Saudi Arabia, Iraq and Iran.

Oil ministers from the 12-member group are scheduled to meet in Vienna on Nov. 27 to consider whether to adjust their production target of 30 million barrels per day for early 2015.

Global supplies have far outpaced demand in recent months. A report earlier in the month showed that OPEC oil output hit a two-year high of 31 million barrels per day in September, led by higher production from Iraq and Libya.

Some market analysts believe that only a cut in output by the oil cartel will halt the decline in prices.

In the week ahead, investors will be awaiting U.S. data on consumer price inflation and new home sales for fresh signals on the strength of the economic recovery.

Oil traders are looking ahead to a raft of Chinese economic data later this week, including reports on third quarter gross domestic product, as well as data on industrial production and retail sales.

The U.S. and China are the world’s two largest oil consuming nations.