NEW YORK (Reuters) - Oil prices fell more than 1 percent on Monday, after disappointing German economic data heightened concern about the global economy and boosted the dollar against the euro. German business sentiment dropped in September for the fifth straight month, raising fears of recession as companies struggled with what an economist for the Munich-based IFO institute called the worst economic outlook since mid-2009. "Slowing economic growth is the major concern for oil markets," said Olivier Jakob, energy consultant at Petromatrix in Zug, Switzerland. Data indicating sputtering growth and weakening consumer confidence has sapped the support crude futures received from economic stimulus measures taken by central banks in the United States and Japan and Europe's plans for bolstering its banking system. Brent dropped 4.5 percent last week, while U.S. crude lost 6.2 percent on increasing concerns about demand for petroleum and indications that Saudi Arabia intends to supply enough oil to lower prices and attempt to alleviate any need for the United States and other consumer nations to release oil reserves. Brent November crude fell $1.64 to $109.78 a barrel by 11:03 a.m. EDT (1503 GMT), having fallen as low as $109.32. U.S. November crude was down $1.14 at $91.75 a barrel, after sliding as low as $91.25. In the final week of the third quarter, Brent is on pace to post a 12 percent gain for the quarter, following a 20.4 percent second-quarter plunge. U.S. crude is on track for a nearly 8 percent quarterly gain, after dropping 17.5 percent in the second quarter. A stronger dollar, which makes U.S. dollar-denominated commodities more expensive for customers using other currencies, also pressured oil prices. The dollar index <.DXY> rose 0.5 percent as the disappointing German data weighed on the euro and underscored increasing uncertainties in Spain and Greece. Countering concerns about supply interruptions elsewhere, Nigeria's crude oil exports are expected to hit a six-month high in November as almost all its oil fields pump near recent peak levels, provisional loading programs showed. Nigeria is to due sell around 2.12 million barrels per day (bpd) of crude oil in November, up from 2.05 million bpd scheduled to load in October and 1.84 million bpd in September. Escalating tension in the Middle East continued to limit oil's price erosion, after Iran hinted at the possibility of a pre-emptive strike on Israel. "Iran will not start any war but it could launch a pre-emptive attack if it was sure that the enemies are putting the final touches to attack it," Amir Ali Hajizadeh, a brigadier general in the Islamic Revolutionary Guard Corps told Iran's state-run radio on Sunday. Hajizadeh Said any attack on Iranian soil could trigger "World War Three." Iran does not take seriously Israeli threats of attack, but is prepared to defend itself, Iranian President Mahmoud Ahmadinejad said. He said Israel has "no roots" in the history of the Middle East and would be "eliminated. (Additional reporting by Christopher Johnson in London and Ramya Venugopal in Singapore; Editing by David Gregorio)

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