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. 

Sterling tilted higher against the dollar, following a basket of data from Britain and the US, the world's largest economy, and after a host of speeches by major global central bankers in Frankfort. 

As of 06:38 GMT, GBP/USD rose 0.21% to 1.3144 from the opening of 1.3116, with an intraday high at 1.3154, and a low at 1.3075. 

Earlier UK data showed consumer prices slowed down to 0.1% from 0.3% in September, while steadying at 3.0% y/y, missing forecasts of 3.1%, as core prices steadied as well at 2.7%. 

UK input producer prices accelerated to 1.0% from 0.2% in September, besting expectations, while on a yearly basis, prices slowed down to 4.6% from 8.1%, missing expectations of 4.8%. 

On another note, Federal Reserve Chair Janet Yellen, Bank of Japan governor Haruhiko Kuroda, Bank of England Governor Mark Carney, European Central Bank President Mario Draghi, have all 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.

Carney said he's also trying to communicate across the year with markets to prevent misunderstandings, noting that the inflation report is one of these communicative methods, and pointing to the necessity that the public continues to have exposure to the directions of the monetary policy. 

The British minister tasked with negotiations with the European Union, David Davis, said earlier today that when a deal is reached on Brexit, it will be discussed in the Parliament and the MPs will get to vote on it, and even if the Parliament refused some deal, the country will exit the union in all cases. 

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. 

In Frankfort, Janet Yellen said the monetary policy should be depended on the economic situation, noting the importance of the market's understanding that the direction of monetary policy isn't absolute or predetermined. 

Yellen said that every member of the FOMC expresses his\her private views in speeches and other lines of communications, noting that healthy arguments are being conducted all the time on monetary policy inside the FOMC meetings. 

Finally, Yellen said the Fed is completely aware that it might require exceptional tools to deal with shocks, noting that risks on financial stability remain moderate, and that the FOMC is taking a direction to balance the targets of inflation and employment. 

On another note, US Treasury Secretary Steven Mnuchin said earlier today he's not worries about whether the Senate tax reform bill could delay reforms, noting there were but small differences on tax cuts between the bills in the Senate and the House of Representatives, and asserting US president Donald Trump targets a growth rate of 3% or above for the economy. 

Euro rose nearly one percent to the highest since October 26 versus the dollar in American trade, following a basket of data from the euro zone and the US, and after a host of speeches by major global central bankers in Frankfort. 

As of 05:47 GMT, EUR/USD rose 0.89% to 1.1771 from the opening of 1.1667, with a three-week high at 1.775, and a session-low at 1.1662. 

Earlier German data showed the preliminary reading for third quarter growth accelerated to 0.8% from 0.6% in the second quarter, while the final reading for October consumer prices steadied at zero, beating expectations and down from 0.1% growth in September.

Italian GDP grew 0.5% in line with expectations in the third quarter, up from 0.3% in the second, while GDP growth for the overall zone steadied at 0.6% as expected. 

Otherwise, industrial production for the whole zone fell 0.6% in line with expectations, compared to a 1.4% increase in September, while the ZEW Economic Sentiment survey rose below expectations in Germany and beyond them in the whole zone. 

On another note, Federal Reserve Chair Janet Yellen, Bank of Japan governor Haruhiko Kuroda, Bank of England Governor Mark Carney, European Central Bank President Mario Draghi, have all 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.

Draghi noted that transparency on the course of monetary policy has become one of the tool for central banks, and an effective one at that, noting the use of modern communications sites such as twitter to keep the public in constant knowledge, and adding that expounding on the future directions help in regulating the markets behavior. .

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. 

In Frankfort, Janet Yellen said the monetary policy should be depended on the economic situation, noting the importance of the market's understanding that the direction of monetary policy isn't absolute or predetermined. 

Yellen said that every member of the FOMC expresses his\her private views in speeches and other lines of communications, noting that healthy arguments are being conducted all the time on monetary policy inside the FOMC meetings. 

Finally, Yellen said the Fed is completely aware that it might require exceptional tools to deal with shocks, noting that risks on financial stability remain moderate, and that the FOMC is taking a direction to balance the targets of inflation and employment. 

On another note, US Treasury Secretary Steven Mnuchin said earlier today he's not worries about whether the Senate tax reform bill could delay reforms, noting there were but small differences on tax cuts between the bills in the Senate and the House of Representatives, and asserting US president Donald Trump targets a growth rate of 3% or above for the economy. 

US stock indices opened the second session of the week lower, led down by the energy sector, amid concerns about the differences between legislators on the subject of tax reforms, while the third-quarter earnings season draws to an end, following earlier data from the US, the world's largest economy. 

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. 

Similarly, US Treasury Secretary Steven Mnuchin said earlier today he's not worries about whether the Senate tax reform bill could delay reforms, noting there were but small differences on tax cuts between the bills in the Senate and the House of Representatives, and asserting US president Donald Trump targets a growth rate of 3% or above for the economy. 

As of 04:28 GMT, Standard and Poor's 500 fell 0.52%, or 13.48 points to 2,571.51, while Dow Jones declined 0.58%, or 135.11 points to 23,304.59. 

Tech-heavy NASDAQ shed 0.48%, or 31.47 points to 6,725.89.