Brent crude futures dropped 1.1%, at $78.18 per barrel by 07:23 CAT, while United States (US) West Texas Intermediate crude futures fell also 1.2%, to $74.73 per barrel.

Both benchmarks gave up their gains from last week, falling by more than $1 a barrel on Monday, before recovering some ground. Brent gained 99 cents last week, while WTI climbed $1.18.

The negative news from China outweighed market concerns over the lingering possibility an Israeli response to Iran's October 1 missile attack could disrupt oil production, though the US has cautioned Israel against targeting Iranian energy infrastructure.

--Reuters--