Apart from retail sales that beat forecasts due to a holiday boost, the flurry of Chinese data on Monday was largely downbeat. The data followed a survey on Friday showing U.S. consumer sentiment fell to a seven-month low in June.
Global benchmark Brent crude futures were up 6 cents at USD 82.68 a barrel at 0805 GMT. U.S. West Texas Intermediate crude futures added 2 cents to USD 78.47.
Last week, both benchmarks posted their first weekly gain in four weeks on elevated confidence that oil inventories are set to plunge as the summer season gets under way in the northern hemisphere.
"The move higher was not unreservedly convincing," said Tamas Varga of oil broker PVM of last week's gains. "Further weakness is observed this morning due to sluggish Chinese factory activity."
Reports from OPEC and the International Energy Agency last week, although differing on the strength of oil demand growth this year, had supported confidence that inventories would be drawn down in the second half.
"Last week's robust rally was fuelled by forecasts of strong 2024 demand from OPEC+ and the IEA. However, given OPEC's vested interest in crude oil, there is some scepticism around OPEC's forecasts," said Tony Sycamore, a market analyst at IG in Singapore.
"Friday's soft U.S. consumer confidence numbers suggest that the resilience of the American consumer and the U.S. economy will be tested as households run down their savings to combat higher interest rates and cost-of-living pressures," he added.
On the geopolitical front, concerns of a wider Middle East war lingered after the Israeli military said on Sunday that intensified cross-border fire from Lebanon's Hezbollah movement into Israel could trigger serious escalation.
Markets in key oil trading hub Singapore and other countries in the region were closed for a public holiday on Monday.
Disclaimer: The copyright of this article belongs to the original author. Reposting this article is solely for the purpose of information dissemination and does not constitute any investment advice. If there is any infringement, please contact us immediately. We will make corrections or deletions as necessary. Thank you.