Oil was little changed as China announced measures to boost its stock and property markets, while traders remain wary of increased supply and monetary tightening in the U.S. and Europe.

West Texas Intermediate traded around US$80 a barrel after closing 1 per cent higher for the day Friday. The U.S. benchmark suffered weekly losses over the past two weeks on speculation the U.S. could ease sanctions on Iran and Venezuela, boosting supply.

Despite efforts by OPEC+, the producers' group led by Saudi Arabia and Russia, to shore up prices by curbing supply, the deteriorating demand outlook in China, the world's biggest oil importer, remained a lingering concern for traders. 

Stimulus aimed at turning that around and comments by the world's top central bankers stressing the need to keep interest rates high until inflation is contained were enough to mute oil's reaction amid thin trading on a holiday in the U.K., according to Ed Bell, a senior director for market economics at Emirates NBD PJSC.

Federal Reserve Chair Jerome Powell hinted at a gathering in Jackson Hole, Wyoming, that the central bank would take no action at its September meeting, even if he indicated that inflation remained persistent. 

“Powell leaned toward being more hawkish, even if he didn't commit the Fed to another hike,” Bell said. Meanwhile China's stimulus efforts failed to produce lasting gains in the market as “its aim of turning around the property market and boosting consumption is a larger task.”

Prices:

• WTI for October delivery was little changed at US$79.89 a barrel at 11:45 a.m. in London.
• Brent for October settlement traded at US$84.37 a barrel.