NEW YORK, Sept. 15 (UPI) — A sign that U.S. consumers were shrugging off concerns about the health of the global economy gave crude oil prices a lift at the start of Tuesday trading.
The U.S. Commerce Department reported consumers were still spending, with retail sales increasing 0.4 percent in August. The U.S. Federal Reserve is reviewing interest rates this week against signs of global growth.
West Texas Intermediate, the U.S. benchmark for crude oil prices, gained about seven tenths of a percent from the previous close to $44.30 per barrel. Brent gained about six tenths of a percent to $46.66 at the start of the trading day in New York.
Early Tuesday gains may be overshadowed by data from the Federal Reserve showing lackluster industrial activity in August.
“Industrial production decreased 0.4 percent in August after increasing 0.9 percent in July,” it said in a report Tuesday.
Federal Reserve Chairwoman Janet Yellen warned in May the U.S. economy was still facing headwinds.
Overseas, the Chinese economy has added to the negative pressure for crude oil prices, which is down about 5.8 percent since the start of September for Brent. Beijing has cut key interest rates and devalued the currency in an effort to slow the economic contraction in one of the world’s leading performers.
Chinese President Xi Jinping told members of an economic steering company external forces may fuel domestic growth.
“China should be committed to attracting foreign investment and expertise, and improve opening-up policies,” he said.