In spite of OPEC+ curbs and slower fuel demand growth in the upcoming year, concerns over a crude surplus continued to drive down oil prices on Monday.

Brent crude slumped 43 cents to $75.41 per barrel meanwhile US WTI 47 cents at $70.76 per barrel.

Despite a more than 2% increase on Friday, both contracts have declined for the past seven weeks, the biggest run of weekly losses since 2018, due to persistent oversupply worries.

It is anticipated that non-OPEC countries' output growth will result in excess supply the following year.

According to the analysts, oil will see volatility for two months before any quantifiable compliance data is available, as cuts won't be applied until next month.

China, the world's largest oil importer, released its most recent consumer price index data, which revealed growing deflationary pressures as sluggish domestic demand raised concerns about the nation's economic recovery.

In order to gauge the possible effects on the world economy and oil demand, investors are keeping an eye on recommendations on interest rate plans from meetings at five central banks, including the US Federal Reserve. They are also monitoring U.S. inflation data.