NYMEX November crude settled 2 cents lower at $46.64/b. ICE November Brent settled down 9 cents at $49.15/b.
NYMEX November ULSD settled 1.25 cents higher at $1.4833/gal. NYMEX November RBOB settled down 57 points at 1.3083/gal.
The US dollar was under pressure Wednesday following televised remarks Tuesday by Fed Governor Daniel Tarullo regarding interest rate policy, Brown Brothers Harriman said in a note.
"A second governor of the Federal Reserve voiced opposition to the intimation by Yellen and Fischer, and several regional presidents, that a rate hike is still appropriate this year."
The dollar index dipped Wednesday to 93.9, down 0.9%. A weaker greenback is seen as supportive of oil prices, but did not seem to have much impact Wednesday on crude futures.
Tarullo told CNBC that before the Fed decides to hike rates there should be evidence of inflation growing.
US economic data released Wednesday seemed to point in the opposite direction. Retail sales nudged up only 0.1% in September after being unchanged in August, the Department of Commerce said.
"The overall tenor of the oil market is still bearish on the demand side, but there are a couple of big caveats, with the number one being what is transpiring in Syria," Stephen Schork, publisher of the Schork Report, said.
Adding to concerns over slowing global economic growth, China's consumer price index rose 1.6% in September year on year, coming in below market expectations.
"Book squaring on November Brent ahead of Thursday's contract expiration may also be a feature in today's trade," Citi Futures and OTC Clearing analyst Tim Evans said in a note.
Libya was pumping 432,000 b/d of oil as of Tuesday, up 71,000 b/d from a month ago, Mustafa Sanalla, chairman of state-owned NOC, said Wednesday.
Last week, the 70,000 b/d capacity Zuetinia crude terminal loaded its first cargo in more than four months, according to Platts trade flow software cFlow and market sources.
Output has reached the highest level since early July, but remains well below its 1.5 million b/d capacity because of technical, logistical and political challenges.
Front-month crude futures have retreated this week from highs seen last week. Comparing Wednesday's intraday low with last Friday's same-day high, NYMEX crude fell 9.8% and ICE Brent 9.9%.
A Bollinger Band analysis shows both benchmarks have shifted from what could be considered oversold territory to neutral territory.
NYMEX November crude settled Wednesday close to the Bollinger Band's midway point, while last Friday the futures contract closed almost exactly at the band's upper limit, according to data provider CQG.
Weakness in NYMEX crude was consistent with expectations for a build in US crude stocks for last week, analysts said.
US commercial crude stocks are expected to have increased 1.8 million barrels in the week that ended Friday, a survey of analysts showed Monday.
The US Energy Information Administration is scheduled to release its weekly data at 11 am EDT (1500 GMT) Thursday. The data is delayed by one day this week because of the Columbus Day holiday Monday.
