LONDON: Global oil prices gained ground Tuesday on expectations of upbeat economic data from the United States, the world's biggest economy and largest consumer of crude.
Brent North Sea crude for delivery in November rose 32 cents to stand at $97.51 a barrel in early afternoon deals in London.
US benchmark West Texas Intermediate for November added 19 cents to $94.76 a barrel.
"Market participants will be keeping an eye on the release of the Chicago PMI (manufacturing) data as well as consumer confidence for September, which will set the tone for today's trading session," said Sucden analyst Myrto Sokou.
Crude futures had advanced Monday ahead of a fresh round of results analysts hope will confirm the US economic recovery is well on track.
The US Conference Board is due to release Tuesday a report on consumer confidence for September, while the US Labor Department's take on the jobs situation will be out Friday.
"Consumer confidence reached a new seven-year high of 92.4 last month, and we see no reason why the index should not rise further in September," research house Capital Economics said.
"The key determinants of confidence have all improved," it said, adding that it expects the September index to come in around 93.5.
Consumer spending is the main engine for the US economy, a key driver for global growth.
On Wednesday, the US Energy Department unveils its weekly oil inventory report, which is closely watched for an indication of the level of demand in the world's top oil consuming nation.
Phillip Futures said in a market commentary traders were also expecting that a key index for the US manufacturing sector to be released Wednesday would be "positive".
But it said price gains would be capped by "rising Libyan crude supply and a possible decrease in US crude imports".
Capital Economics said improved global oil supplies, not falling demand, will keep a lid on any oil price increase.
"A fall in oil prices which is due to improved supply, rather than weak demand, should be a positive for global growth," added the research group.
The drivers for the ample global oil supplies include "increased US shale output, relief that geopolitical problems have not disrupted supply and expectations that output in Iran and Libya will recover," it added.
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