Brent Steady On Delayed Data Expectations
Brent crude oil traded just above $110 to start the week as investors looked forward to delayed US data for a more complete picture of the number one oil consuming nation's economic health. The commodity traded at $110.04 at 5:00 GMT on Monday morning.
On Friday, strong data from China helped boost Brent prices, while the US dollar's weakness helped buoy commodity prices.
With the Federal Reserve largely expected to maintain its accommodative monetary policy in the wake of a political battle in Washington, the dollar has been on the decline which has helped commodities priced in the American currency.
The US government shutdown that dragged on for more than two weeks kept several key data points from being released, which will be highly anticipated. Non-farm payrolls data is due out on Tuesday, which investors see as a key figure in the Federal Reserve's decision about whether or not to taper its $85 billion per month bond buying plan.
Chinese data showed that the number two oil consumer's economy grew 7.8 percent from July to September, its fastest pace in 2013. However, CNBC reported that analysts are not expecting to see the trend continue into the fourth quarter. The country's implied oil demand was less impressive; the figure declined for the first time in 17 months in September.
Moving forward, investors will be focused on the upcoming Federal Reserve meeting at which the bank is not expected to make any major changes. Most are hoping that the bank will provide forward guidance about its plans for the future and whether or not a taper is on the horizon.
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