Investing.com - Crude oil futures remained lower during U.S. morning hours on Tuesday, holding to losses after official data showed that U.S. new home sales rose broadly in line with market expectations in March. Oil prices were down sharply earlier in the session as investors sold growth-linked assets in response to downbeat manufacturing data out of China and the euro zone. China and the euro zone are major oil consumers and manufacturing numbers are often used as indicators for future fuel demand growth. On the New York Mercantile Exchange, light sweet crude futures for delivery in June traded at USD88.40 a barrel during U.S. morning trade, down 0.9% on the day. New York-traded oil fell by as much as 1.5% earlier in the session to hit a daily low of USD87.83 a barrel. Oil prices remained lower after the U.S. Census Bureau said new home sales rose by 1.5% to a seasonally adjusted 417,000 units in March, compared to expectations for an increase to 420,000. New home sales for February rose by an unrevised 411,000 units. Crude prices came under pressure earlier after market research group Markit said that its preliminary euro zone manufacturing purchasing managers’ index fell to a four-month low of 46.5 in April from a final reading of 46.8 in March. Meanwhile, Germany’s manufacturing purchasing managers’ index fell to a four-month low of 47.9 in April from a final reading of 49.0 in March. The data came after a report showing that manufacturing activity in China expanded at a slower rate in April, underlining concerns over a slowdown in demand from the world’s second largest oil consumer. China’s HSBC Flash Purchasing Managers Index, the earliest indicator of the country's industrial activity, fell to a two-month low of 50.5 in April from a final reading of 51.6 in March. Market players now looked ahead to the release of fresh weekly information on U.S. stockpiles of crude and refined products to gauge the strength of oil demand in the world’s largest oil consumer. The American Petroleum Institute will release its inventories report later in the day, while Wednesday’s government report could show crude stockpiles rose by 1.6 million barrels. The U.S. is the world’s biggest oil consuming country, responsible for almost 22% of global oil demand. Elsewhere, on the ICE Futures Exchange, Brent oil futures for June delivery declined 1% to trade at USD99.38 a barrel, with the spread between the Brent and crude contracts standing at USD10.98 a barrel. London-traded Brent prices fell to a nine-month low of USD96.76 a barrel on April 18. The European benchmark has been under heavy selling pressure in recent sessions, amid growing concerns over the euro zone’s economic outlook.

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