Crude futures retreated after hitting 50 U.S. dollars a barrel as the weak economic data refreshed demand concerns.

The U.S. government said orders to factories fell for a record fourth straight month in November. The 4.6 percent decline was nearly double the 2.5 percent drop economists expected.

Meanwhile, an index of activity in the U.S. services sector contracted at a slower pace in December as new orders and employment improved.

The National Association of Realtors reported that pending home sales fell to the lowest level on record in November.

Light, sweet crude for February delivery fell 23 cents to settle at 48.58 dollars a barrel on the New York Mercantile Exchange after rising as high as of 50.47 dollars.

In London, February Brent crude rose 1.58 dollars to 51.20 dollars a barrel on the ICE Futures exchange.