Brent oil prices slumped to a 17-month low today, as traders fretted over a global supply glut ahead of the latest US crude inventories report.
Brent North Sea crude for October sank to $98.80 per barrel - the lowest point since May 1, 2013. It later recovered a little to stand at $99.08, down eight cents from yesterday's closing level.
US benchmark West Texas Intermediate (WTI) for October delivery dipped four cents to $92.71 a barrel.
The Brent contract had plunged on Monday under the psychological barrier of $100 for the first time in more than 14 months, weighed down by abundant supplies.
The US government's Department of Energy will publish its report on commercial oil inventories for the week ending September 5 later today.
US reserves are expected to have fallen by 1.2 million barrels in the week to September 5, according to analysts polled by the Wall Street Journal.
Petrol stockpiles are expected to be unchanged, while stocks of distillates, including heating oil and diesel, are expected to have risen by 600,000 barrels.
Analysts said that investors are closely monitoring the slide in Brent, which is largely affected by international markets, following concerns about a global supply glut. They have said that OPEC could respond to declining prices and the global supply glut by reducing oil production levels.
OPEC will hold its next scheduled output meeting on November 27 in the Austrian capital of Vienna, where the 12-nation cartel is headquartered.
