LONDON: Global oil prices sank on Wednesday as traders awaited the key economic data and weekly crude inventories in top-consuming nation the United States, analysts said.
New York's West Texas Intermediate (WTI) for delivery in May slid 56 cents to $99.18 a barrel.
Brent North Sea crude for May shed $1.16 to stand at $104.46 a barrel in midday London deals.
The US government's Energy Information Administration (EIA) will later publish its report on American crude stockpiles for the week to March 28.
Traders will also digest US employment figures from payrolls firm ADP, before Friday's eagerly-awaited non-farm payrolls data.
"Brent futures have been on a consolidation phase, trading around $105 per barrel ahead of the release of the weekly EIA oil inventories report and key employment data from the US, which will set the tone for today's trading session," said Sucden brokers analyst Myrto Sokou.
Crude futures had fallen sharply on Tuesday, as poor global manufacturing data sparked serious worries about the outlook for world energy demand.
The market was hit hard by weak purchasing managers index (PMI) readings for the manufacturing sectors in China, the eurozone and the United States.
"The Brent futures front month contract plunged more than $2 on Tuesday, dragged lower by fairly disappointing PMI manufacturing data from the US, China and eurozone which weighed heavily on market sentiment and raised renewed concerns regarding a possible slowdown in the oil demand for the short-term," added Sokou.
New York crude dropped $1.84 and Brent oil dived $2.14 in volatile Tuesday deals.
Ric Spooner, chief analyst at CMC Markets in Sydney, told AFP that the US inventories report was expected to show that crude reserves rose 2.5 million barrels.
A rise in US stockpiles indicates weak demand in the world's biggest crude consumer, which would in turn put downward pressure on prices.
The market meanwhile faced further selling pressure this week on reports that Libya may be close to reaching a deal with rebels who have blockaded oil terminals since July, analysts said.
"Brent crude fell ... as Libyan rebels announced they would reopen oil ports within days," noted analyst Joe Conlan at British energy consultancy Inenco.
Investors are also continuing to monitor the tense situation in Ukraine, as NATO said Tuesday it had suspended all cooperation with Russia and questioned Moscow's claim to have withdrawn troops along the Ukraine border.
Russia provides about a quarter of Europe's natural gas supplies, with about half of those exports travelling through pipelines in Ukraine.
Russian troops are massed near the Ukrainian border, sparking fears about Moscow's plans following its takeover of the Crimean peninsula last month.
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