Investing.com - Crude oil prices dipped lower in Asia on Monday ahead of key manufacturing surveys in China and other countries expected to set the tone.
On the New York Mercantile Exchange, crude oil for delivery in March eased 0.37% to $33.69 a barrel.
Earlier, the AIG Manufacturing index in Australia for January came in at 51.5 with last month's reading at 51.9. As well, the MI Inflation Gauge is due for a month-on-month estimate.
In China both the semi-official manufacturing PMI for January, which is seen at 49.6 and the Caixin Manufacturing PMI which came is expected at 48 are due. As well, Japan reports its manufacturing PMI, with a 52.4 level seen. The non-manufacturing PMI is due as well in China.
In the week ahead, investors will be awaiting a flurry of survey data on manufacturing and service sector growth amid concerns over the outlook for the global economy.
Last week, oil prices rallied for the fourth straight session on Friday, amid speculation OPEC and non-OPEC producers may be edging closer to a deal to cut production in an effort to tackle one of the biggest supply gluts in decades.
On the ICE Futures Exchange in London, Brent oil for April delivery surged $1.19, or 3.42%, on Friday to close the week at $35.99 a barrel.
A day earlier, prices climbed 87 cents, or 2.56%, after Russian energy minister Alexander Novak said Saudi Arabia proposed to cut oil production by each country by up to 5%.
On the week, London-traded Brent futures jumped $3.81, or 10.58%, the second consecutive weekly gain. Brent prices are up nearly $9.00, or 25%, since falling to a 12-year low of $27.10 on January 20.
Despite recent gains, Brent ended January with a loss of 3.7% amid ongoing concerns over a global supply glut.
Global crude production is outpacing demand following a boom in U.S. shale oil and after a decision by the Organization of the Petroleum Exporting Countries last year not to cut production in order to defend market share. Oversupply issue will be exacerbated further as Iran returns to the global oil market in the coming months.