Oil prices rose on Monday as lower-than-expected U.S. inflation data revived hopes for further policy easing, although the outlook for a supply surplus next year weighed on the market.

The dollar was steady on Monday after U.S. inflation data showed only a modest rise last month, easing some concerns about the pace of U.S. rate cuts next year, while the yen loitered near 156 per dollar, raising the possibility of intervention.

China's passenger car new energy vehicle (NEV) sales are poised to reach a new high this month.

The United States has reported a decrease in Initial Jobless Claims, a key indicator of the health of the labor market. The actual number of initial jobless claims came in at 220,000, a figure lower than the forecasted 229,000.

British manufacturers reported the biggest fall in output since the COVID-19 pandemic in late 2024 and they are even more downbeat about the start of next year, according to a survey that adds to signs of a loss of momentum in the economy.

The Federal Reserve’s rate cut by 25 basis points was accompanied by a higher inflation projection, on which the Macquarie analysts say with the hawkish tone was influenced not just by economic data but also by potential policy shifts under Donald Trump’s administration.