Loading...

Oil up on China demand hopes

Dec 17 2012 08:25
AFP

Singapore - Oil was up in Asia on Monday on trader expectations of a hike in Chinese crude demand after a key survey showed its manufacturing activity hitting a 14-month high in December, analysts said.

New York's main contract, light sweet crude for delivery in January rose 20 cents to $86.92 a barrel in the afternoon and Brent North Sea crude for February delivery advanced four cents to $108.22.

"Oil prices rose... on expectations for improved demand in China after data showed the manufacturing sector in the world number two oil consumer expanded in December at its fastest pace in more than a year," Phillip Futures said in a report.

Banking giant HSBC in its preliminary purchasing managers' index (PMI) released Friday recorded China's manufacturing activity at 50.9 in December, the highest the index has reached in 14 months.

It was the second straight month that China's manufacturing has hurdled the 50-point mark indicating an expansion after 12 consecutive months of contraction.

China's economic growth hit a more than three-year low of 7.4% in the three months to September, but HSBC's PMI, together with a series of data released recently, has fuelled optimism of a Chinese economic rebound.

Follow Fin24 on Twitter, Facebook, Google+ and Pinterest.

commodities  |  markets  |  oil

NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
0 comments
Comments have been closed for this article.
 

Company Snapshot

We're talking about...

Calling all social entrepreneurs - apply for The Venture now!

Are you running an innovative social business that's helping to create a better future? Then pitch for a share of The Venture’s $1m fund and receive world-class mentorship to help accelerate your business growth.
 

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

New SAA board now has an aviation expert

Previous results · Suggest a vote

Loading...