MTECHTIPS:-NYMEX crude gains in early Asia ahead of China GDP, industrial output

MTECHTIPS:-NYMEX crude gains in early Asia ahead of China GDP, industrial output

Crude prices gained modestly in Asia on Tuesday with China data in focus including GDP and industrial output. Crude oil for delivery in March on the New York Mercantile Exchange rose 0.15% to $30.09 a barrel. A big day in China with fourth quarter GDP seen up 1.7% quarter-on-quarter and 6.8%year-on-year. As well, the Middle Kingdom reports industrial production, expected up 6.0% and retail sales, seen up 11.3% for December as well as fixed asset investment seen up 10.2%. Overnight, Brent oil futures turned higher after falling below the $28-level on Monday, as international sanctions against Iran’s nuclear program were lifted over the weekend, opening the door to a wave of new oil and adding to concerns that a global glut will linger. Trading was thin because of the Martin Luther King Jr. holiday in the U.S. Analysts say the country could quickly ramp up exports by around 500,000 barrels. The surge in Iranian shipments is viewed as bearish for crude, which has fallen approximately 75% from its peak of $115 two summers ago, amid a glut of oversupply on markets worldwide. 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.

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