WASHINGTON (dpa-AFX) - Crude oil prices rebounded after early weakness on Thursday, extending gains to a fourth successive session, on hopes the proposed reduction in oil output by OPEC and some of its allies will help allay fears about excess supply in the market.
Oil's rise was also supported by reports that Libya's oil exports have been suspended after bad weather conditions forced the country to shut all its export terminals.
However, the latest data showing a contraction in Chinese manufacturing activity and disappointing report on U.S. manufacturing activity in the month of December raised concerns about global economic growth and energy demand and limited oil's gains.
The dollar's weakness and the sell-off in stock markets after Apple lowered its revenue forecast for the first quarter of 2019 also weighed on crude oil.
Crude oil futures for February ended up $0.55, or 1.2%, at $47.09 a barrel.
On Wednesday, crude oil futures ended up $1.13, or 2.5%, at $46.54 a barrel.
According to a Reuters survey, OPEC oil supply fell in December by the largest amount in almost two years, as top exporter Saudi Arabia cut supply. Iran and Libya are reported to have posted involuntary declines.
Meanwhile, traders awaited the weekly oil report from the American Petroleum Institute, due after trading hours today and the official data on crude inventory from U.S. Energy Information Administration, due on Friday.
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