LONDON, March 31 Reuters Oil prices dipped on Friday, with benchmarks heading for their weakest monthly performances since November, ahead of key U.S. inflation data which could give clues on future interest rate moves and the strength of the dollar.

Brent futures, which have risen nearly 5 this week, were down 63 cents, or 0.8, at 78.64 a barrel at 0824 GMT. U.S. West Texas Intermediate WTI crude fell 44 cents, or 0.5, to 73.93, having gained about 7 so far this week.

The contracts were set for 6 and 4 monthly drops, respectively, after hitting their lowest since 2021 earlier in the month in the wake of the largest bank failures since the 2008 financial crisis.

Worries about a fullblown global banking crisis have abated after two banks, in the U.S. and Europe, were rescued.

Markets are now waiting for U.S. personal consumption expenditures PCE inflation figures, tracked closely by the Federal Reserve, which are due at 1230 GMT.

Economists polled by Reuters expect the core PCE index to ease to 0.4 in February from January and stay broadly steady on an annual basis at 4.7.

On Thursday, the U.S. House of Representatives passed a bill intended to bolster U.S. oil and gas production while scaling back climate initiatives.

Oil prices were buoyed after producers shut in or reduced output at several oilfields in the semiautonomous Kurdistan region of northern Iraq following a halt to the northern export pipeline.

Also sending a bullish signal was data showing U.S. crude…