Oil prices dip on weak economic outlook

SINGAPORE, Jan 21 (Reuters): Oil prices dipped on Monday, weighed down by expectations that China will report its weakest economic growth in almost three decades amid waning domestic demand and painful US tariffs.

Still, analysts expect oil prices to be relatively well supported this year by supply cuts led by the Organisation of the Petroleum Exporting Countries (OPEC) and some non-OPEC allies, including Russia.

International Brent crude oil futures were at $62.30 per barrel at 0022 GMT, down 40 cents, or 0.6 per cent, from their last close.

US West Texas Intermediate crude futures were down 37 cents, or 0.7 per cent, at $53.43 a barrel.

US bank J.P. Morgan said there were ongoing signs of economic uncertainty.

"The global outlook remains murky, despite emerging positives from a dovish Fed (now boosting US mortgage applications), faster China easing (China credit growth stabilising) and a more durable US-China truce," it said.

Despite this, analysts said supply cuts led by OPEC would likely provide crude oil prices with support.