Oil Prices Fall on Weaker US Consumer Demand, China Data

Oil prices in Asian trading on Monday fell after a survey on Friday revealed weaker US consumer demand and as China's crude production increased in May, the world's largest crude importer. 

Global benchmark Brent crude futures for August delivery dropped by 0.4% to $82.33 per barrel at 0330 GMT, while US West Texas Intermediate crude futures for July delivery also decreased by 0.4% to $78.16 a barrel, according to Reuters. 

Reuters said the more-active August delivery WTI contract also slipped by 0.4% to $77.76 per barrel. 

Prices had declined on Friday following a survey showing a decrease in US consumer sentiment in June, with concerns about personal finances and inflation. 

Despite this, both benchmark contracts saw a nearly 4% increase last week, the highest weekly rise since April, due to indications of stronger fuel demand. 

Also, China's domestic crude oil production in May rose by 0.6% compared to the previous year, reaching 18.15 million tons, as reported by the National Bureau of Statistics on Monday. 

Year-to-date output increased by 1.8% from the previous year to 89.1 million tons. However, national crude oil throughput fell by 1.8% in May compared to the previous year, totaling 60.52 million tons, with year-to-date reaching 301.77 million tons, up by 0.3% from the previous year. 

The country's May industrial output was below expectations and the slowdown in the property sector showed no signs of improvement, putting pressure on Beijing to boost growth. 

The data released on Monday painted a largely negative picture, highlighting a challenging recovery for the world's second-largest economy. 

In terms of geopolitics, concerns about a broader conflict in the Middle East persisted after the Israeli military warned on Sunday that increased cross-border fire from Lebanon's Hezbollah into Israel could lead to a serious escalation. 

Following intense exchanges over the past week, Sunday saw a significant decrease in Hezbollah fire, while the Israeli military reported carrying out multiple airstrikes against the group in southern Lebanon