Oil prices extended losses for a fourth straight session as weak Chinese economic data fueled renewed fears of a recession.
In the opening European session, Brent crude oil futures traded gloomy at around $94 a barrel while US WTI traded down at $88 a barrel.
Both benchmarks had fallen about 3% in the previous session, bringing them close to six-month lows.
Factory activity and retail sales in China unexpectedly slowed in July, prompting the central bank to cut interest rates to support the economy.
In addition, the prospect for increased Iranian oil exports also weighed on prices as Tehran reacted to the European Union's (EU) proposal to revive the 2015 nuclear deal.
On the other hand, oil prices are still affected by the willingness of oil giant Saudi Aramco to increase crude oil production to a maximum capacity of 12 million barrels if the Saudi Arabian government orders it to do so.
