Oil near six-week low

Oil traded near a six-week low ahead of this week’s OPEC+ meeting as positive economic data from China helped ease demand concerns. Brent crude rose above $81 a barrel after falling 1.5% on Friday for a third weekly decline, while U.S. crude approached $77. Industrial profits in Asia’s largest economy grew in June, reflecting the resilience of manufacturing. Crude remains modestly higher this year thanks to OPEC+ supply discipline and expectations that the Federal Reserve is moving closer to lowering borrowing costs. The U.S. Federal Reserve is due to announce its interest rate decision on Wednesday. Key members of the Organization of the Petroleum Exporting Countries and their allies meet online a day later, and the market is divided over whether the group will keep production levels unchanged. Investors will also be watching developments in the Middle East after Israel attacked Hezbollah targets on Sunday and threatened more retaliation. "Concerns about the Chinese economy have weighed on energy commodity prices generally, but demand concerns will likely lead to increased geopolitical risks in the Middle East early this week as the conflict between Israel and Hezbollah worsens," said Vivek Dhar, an analyst at the Commonwealth Bank of Australia in Melbourne.