Crude oil prices were up early Wednesday as weak macroeconomic data in the U.S. pushed the American dollar lower, and increased global oil demand.
The international benchmark Brent crude was trading at $59.37 per barrel at 0640 GMT with a 0.25% gain after closing Tuesday at $59.22 a barrel.
American benchmark West Texas Intermediate was at $54.28 a barrel at the same time with a 0.42% increase after ending the previous session at $54.05 per barrel.
The Institute for Supply Management's (ISM) manufacturing Purchasing Managers Index (PMI) came in at 47.8 in September, the institute reported on Tuesday.
While this marked the lowest level since June 2009, it also recorded the second consecutive month of contraction, hinting that the U.S.-China trade tensions have hit the U.S. economy.
The index is based on data compiled from replies to questions asked to more than 400 companies in the U.S. industry, which indicates a positive or negative direction for the country's economy.
After the weak data was released, the U.S. dollar index, which includes a basket of currencies like the euro, Japanese yen, British pound, Canadian dollar, Swedish krona and Swiss franc, closed Tuesday with a 0.25% decline.
Since oil prices are indexed to the U.S. dollar, a weak greenback encourages investors to buy more crude volumes, increasing its demand worldwide.
Yet, weak economic data from major economies like the U.S. and China is expected to hurt global oil demand in the long run and push crude prices lower.
China's PMI rose slightly to 49.8 in September, but remained below the 50-point mark, according to data from the country's National Bureau of Statistics released Monday.
Figures below the 50-point mark represent a contraction, while figures above this point reflect an expansion.
By Ovunc Kutlu
Anadolu Agency
energy@aa.com.tr