Investing.com - Oil prices were under pressure in European trade on Tuesday, as concerns over the global economy weighed on the outlook for future crude demand.
On the ICE Futures Exchange in London, Brent oil for September delivery slumped 83 cents, or 1.66%, to trade at $49.27 a barrel by 07:52GMT, or 3:52AM ET.
A day earlier, London-traded Brent futures lost 25 cents, or 0.5%, as economic concerns took center stage with many analysts saying oil demand will stall later this year.
Elsewhere, crude oil for August delivery on the New York Mercantile Exchange dropped $1.03, or 2.1%, to trade at $47.96 a barrel.
Signs of a potential recovery in U.S. drilling activity weighed. According to oilfield services provider Baker Hughes, the number of rigs drilling for oil in the U.S. rose by 11 last week to 341, marking the fourth increase in five weeks.
The renewed gain in U.S. drilling activity fueled speculation that domestic production could be on the verge of rebounding in the weeks ahead, underlining worries over a supply glut.