Oil fell more than $1 today, extending the previous session's losses as signs of slowing demand outweighed the impact of OPEC's oil production cut.
Volumes were thin as investors awaited the outcome of the US presidential election.
US light crude for December delivery fell $1.34 cents to $62.57 a barrel by 9.38am, after shedding almost $4 in the previous session and after October saw the steepest monthly price decline for oil.
London Brent crude retreated $1.60 cents to $58.88 a barrel.
"Refiners cutting runs is putting crude prices under pressure, which the OPEC production cuts have not been able to alleviate," said Christopher Bellew at Bache Commodities.
Prices have as yet failed to made consistent gains on OPEC's decision last month to cut output by 1.5 million barrels per day, although signs of reduced supply were mounting.
Saudi Arabia has cut oil supply to some major customers with immediate effect, industry sources said on Tuesday, easing doubts about whether the world's top exporter will comply quickly with OPEC cuts.
Meanwhile, the UAE's reduced the country's oil production to around 2.3 million barrels per day (bpd) from around 2.5 million bpd, a top state oil company official said today.
Qatar has cut its crude oil exports to Asia by about 40,000 barrels per day (bpd) from this month, Qatar Energy Minister Abdullah al-Attiyah told Reuters today.
Yesterday, a slew of weak economic data indicating blunted oil demand had sent oil tumbling.
US auto sales plunged 32 per cent in October to lows unseen in a quarter century, while US factory activity - a barometer for future oil demand - fell to its lowest in 26 years as the financial crisis racked the world's largest economy.
Crude oil has plummeted from its record above $147 a barrel in July as the credit crisis hits the real economy and limits fuel use in the United States, the world's top oil consumer, and other major consumer nations.