CORRECTED-Oil prices slip ahead of data pointers on impact of coronavirus on demand

(Corrects OPEC+ cuts at 1.7 million bpd, not 2.1 million bpd,
in paragraph 10)
* Global oil demand could fall by 435,000 bpd in Q1 - IEA
* Russia may support further OPEC+ cuts on growing oil glut

By Florence Tan
SINGAPORE, Feb 17 (Reuters) - Oil prices edged lower on
Monday as investors brace for economic data in Asia due this
week that should give a reading on how China's coronavirus
epidemic has affected oil demand.
Brent crude LCOc1 was at $56.99 a barrel, down 33 cents by
0121 GMT after rising 5.2% last week, the biggest weekly gain
since September 2019.
U.S. West Texas Intermediate crude CLc1 fell 13 cents to
$51.92 a barrel, after a 3.4% gain last week.
The weekly gains, the first since early January, were
spurred by hopes that stimulus measures taken by China to
support its economy amid the coronavirus outbreak could lead to
a recovery in oil demand in the world's largest importing
country.
But the International Energy Agency (IEA) said the virus is
already set to cause oil demand to fall by 435,000 barrels per
day (bpd) in the first quarter from the same period a year ago,
in what would be the first quarterly drop since the depths of
the financial crisis in 2009. Analysts at Capital Economics said over the weekend that it
is too soon to start assessing the longer-term economic fallout
from the epidemic.
"Attention will be paid (this week) to the range of flash
manufacturing PMIs (purchasing managers' indices) for February,
particularly those in Asia, as these should provide an early
indication of how significantly the virus is affecting global
manufacturing supply chains," Capital Economics said.
"We expect the data to be weak, but if they are
better-than-expected then industrial commodity prices could see
further gains."
Investors are also anticipating that the Organization of the
Petroleum Exporting Countries (OPEC) and its allies, including
Russia, will approve a proposal to deepen production cuts in a
move to tighten global supplies and support oil prices.
The group, also known as OPEC+, has an agreement to cut oil
output by 1.7 million bpd until the end of March.
A technical committee has recommended the group reduces
production by another 600,000 bpd because of the impact from the
coronavirus on China's oil demand.
Russia, facing a growing oil glut, could support further
output cuts.