Oil futures tumbled nearly two percent in American trade even as the dollar index hit the lowest since October 26, following a basket of data from China, the world's largest crude importer, and the US, the world's biggest consumer, and after the IEA cut its forecasts for demand growth in 2018. 

As of 07:42 GMT, US West Texas Intermediate shed 1.90% to $55.68 a barrel from the opening of $56.74, while Brent futures due on January 15 slid 1.65% to $62.12 a barrel from the opening of $63.16, as the dollar index gave up 0.73% to 93.80 from the opening of 94.49. 

Earlier data from China showed industrial production slowed down to 6.2% y/y from 6.6% in September, missing expectations of 6.3%, while fixed-asset investments slowed down to 7.3% in line with expectations from 7.5%. 

Chinese retail sales slowed down as well to 10% from 10.3% in September, missing forecasts of 10.5%, as several global central bank governors participated in a panel discussion titled "At the heart of policy: challenges and opportunities of central bank communication" at the Central Bank Communications Conference hosted by the European Central Bank, in Frankfurt.

Otherwise, US producer prices rose 0.4% in October, beating expectations of 0.1%, and same as September, while core prices, excluding food and fuel prices, also rose 0.4%, same as before and passing forecasts of a 0.2% advance. 

The International Energy Agency cut its projections for global oil demand in 2018 by 200 thousand bpd to 98.9 million bpd, while cutting forecasts for global demand growth by 100 thousand bpd to 1.3 million bpd, as a more-than-usual moderate weather in the winter hurt heating fuel demand, while the recent spike in prices pave the way for more US shale production and hurt the market balance efforts in 2018.