Oil steadies above $77, market seeks fresh cues - Reuters

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PERTH (Reuters) - Oil rose above $77 a barrel on Tuesday, after a rebound of 1.6 percent in the previous session, as Dubai debt default fears eased and cautious investors cast about for fresh clues to the pace of global economic recovery.

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With a series of key economic indicators due out in the United States later in the day, as well as a preliminary snapshot of the weekly U.S. fuel inventory report, traders are expected to stay on the sidelines until they get a clearer picture on the state of energy demand. U.S. crude for January delivery inched up 4 cents to $77.32 a barrel by 0322 GMT. The contract settled up $1.29 at $78.47 on Monday.

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