LONDON, Dec 13 (Reuters) - Oil rose more than a dollar on Monday in line with other commodities on strong economic data out of China and after OPEC agreed to keep its production targets unchanged.
The Organization of the Petroleum Exporting Countries decided on Saturday, as expected, to maintain its production policy and leading member Saudi Arabia said it still favoured oil prices between $70 and $80 per barrel. [ID:nLDE6BC0KT]
Optimism among investors was boosted by data from China's National Bureau of Statistics showing industrial output in November topped expectations, while headline inflation rose to a 28-month high to 5.1 percent.
"It's not just oil (that is strong) it is the entire commodities spectrum," said Carsten Fritsch, an oil analyst at Commerzbank in Frankfurt, as Tokyo rubber futures and London copper hit historic highs, while gold also rose. [ID:nLDE6BC13W]
U.S. crude for January CLc1 rose $1.30 to $89.09 a barrel by 1433 GMT. ICE Brent LCOc1 jumped $1.82 to a high of $92.30. The dollar .DXY fell by around 0.45 percent against a basket of currencies.
Bullish sentiment was underlined by oil price hawk Venezuela, which called at the OPEC meeting for $100 oil and said OPEC should not lift output again through the end of 2011.
Prices have also been supported by unseasonably cold weather in Europe, the United States and parts of east Asia leading to higher than normal energy consumption for this time of year. [ID:nN12122011] [ID:nDTN295]
In a note to clients, Barclays Capital said "a June meeting effectively gives the market the green light for the tilt at $100 and beyond" referring to OPEC's decision not to reconvene earlier next year.
Expectations of higher oil prices have drawn investors into U.S. crude oil futures also known as West Texas Intermediate, data from the Commodity Futures Trading Commission shows.
Speculators raised their net long positions in U.S. crude futures to a record high in the seven days to Dec. 7, the day prices hit $90 a barrel for the first time in over two years.
