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Brent crude futures were down 13 cents to $86.18 a barrel at
1018 GMT, while U.S. West Texas Intermediate crude was at $82.33
a barrel, down 19 cents.
Both contracts notched their fourth weekly gain in a row last
week - the longest such streak since mid-2022.
The release of China's first-quarter gross domestic product
(GDP) data this week is expected to be positive for commodity
prices, with the International Energy Agency (IEA) forecasting
it will account for most of 2023 demand growth.
The data are due to be published at 0200 GMT on Tuesday.
However, the IEA warned in its monthly report that the output
cuts announced by OPEC+ producers risked exacerbating an oil
supply deficit expected in the second half of the year and could
hurt consumers and a global economic recovery.
"Crude futures were relatively rangebound as a fresh week began
... with the OPEC/non-OPEC output cuts announced a fortnight ago
fully baked in", Andana Hari, founder of oil market analysis
provider Vanda Insights, said.
"Crude prices have defaulted to tracking the daily mood in the
broader financial markets" as fears over possible recession
continue to cloud the horizon, she added.
Further tightening supplies, oil exports from northern Iraq to
the Turkish port of Ceyhan remain at a standstill almost three
weeks after an arbitration case ruled Ankara owed Baghdad
compensation for unauthorised exports.
Rising costs for Middle Eastern crude supplies, which meet more
than half of Asia's demand, are already squeezing refiners'
margins, prompting them to secure supplies from other regions.
Refiners are also ramping up gasoline output ahead of peak
summer demand, while cutting diesel production amid worsening
margins.
Meanwhile, earnings from U.S. companies could also provide clues
for the Federal Reserve's policy path and the dollar's
trajectory.
The greenback has been strengthening alongside interest rate
hikes, making dollar-denominated oil more expensive for holders
of other currencies.
Traders are betting the Fed will raise its lending rate in May
by another quarter of a percentage point and have pushed out to
late this year expectations of a rate cut, as typically occurs
in a slowdown. [MKTS/GLOB]
(Additional reporting by Florence Tan and Emily Chow Editing by
Jason Neely and Mark Potter)
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