Benchmark oil for May delivery gave up 82 cents to $104.41 a barrel in afternoon trading on the New York Mercantile Exchange. The contract rose $2.21 to settle at $105.23 per barrel on Monday.
In London, Brent crude was down 30 cents at $125.13 per barrel on the ICE Futures exchange.
Crude has traded near $105 a barrel since February as traders weigh an improving US economy against signs of weakening growth in Europe and China.
Prices were bolstered Monday by a report that showed US industrial production grew in March at a faster pace than February while China said on the weekend that manufacturers also gained momentum in March.
However, manufacturing data from France and Germany weakened, suggesting Europe will likely face a recession this year.
IMF chief Christine Lagarde said the global economy is making some advances in digging itself out of the worst downturn in decades, but that the recovery remains particularly frail in Europe.
She suggested cutting government spending too quickly in developed countries like the US and larger European nations could make things worse, not better.
In other energy trading in New York, heating oil fell by 1.18 cents to $3.2378 per gallon and gasoline futures added 1.67 cents to $3.3989 per gallon. Natural gas increased by 2.9 cents to $2.181 per 1,000 cubic feet.
