Crude-oil futures slipped in Asia Wednesday, with developments in Europe, surplus oil stocks and the likelihood of global oil demand weakening further weighing on prices.
On the New York Mercantile Exchange, light, sweet crude futures for delivery in November traded at $90.89 a barrel at 0542 GMT, down $0.48 in the Globex electronic session. November Brent crude on London's ICE Futures exchange fell $0.52 to $109.93 a barrel.
Nymex crude tracked a broader decline in U.S. stock markets overnight, after Federal Reserve Bank of Philadelphia President Charles Plosser said the Fed's quantitative easing measures may not help economic growth--and could damage the central bank's credibility.
In Europe, Commissioner for Economic and Monetary Affairs Olli Rehn said the euro zone has reinforced its toolkit to tackle its sovereign debt crisis, but that fiscal union can't be expected to happen overnight, and that the macroeconomic outlook is bleak.
"Expect the risk-off sentiment to prevail today amid growing doubts about the efficacy of the recent global monetary stimulus," Singapore-based OCBC Bank said in a note.
U.S. oil inventory data is due at 1430 GMT from the Energy Information Administration. Analysts surveyed by Dow Jones Newswires expect the figures to show crude-oil stocks rose 1.1 million barrels in the week ended Sept. 21.
A survey released Tuesday by the American Petroleum Institute, a trade group, showed crude-oil stocks rose by 335,000 barrels.
Markets will be watching U.S. new home sales data due at 1400 GMT, U.S. mortgage applications at 1100 GMT and Germany's consumer price index at 1200 GMT.
Geopolitical tensions continue to provide some support for crude. Addressing the UN General Assembly, President Barack Obama Tuesday said the U.S. will do what it must to ensure Iran doesn't obtain a nuclear weapon, but didn't outline any specific new steps.
Meanwhile, European Union member states are discussing a United Kingdom proposal for a complete asset freeze on Iran's central bank, according to two EU diplomats.
Nymex reformulated gasoline blendstock for October--the benchmark gasoline contract--rose 266 points to $2.9937 a gallon, while October heating oil traded at $3.0952, 134 points lower.
ICE gasoil for October changed hands at $969.50 a metric ton, down $7.75 from Tuesday's settlement.