UPDATE 2-Brent drops to near $114, sluggish economy offsets supply risk
* Weak economic outlook, stronger dollar depress oil
* NATO says plans in place to defend Turkey from Syria
* U.S. crude stockpiles forecast to rise 1 mln bbls -poll
* Coming Up: API weekly oil inventories data; 2030 GMT
(Updates prices) By Florence Tan
SINGAPORE, Oct 10 (Reuters) - Brent crude slipped to near $114 per barrel on Wednesday, after jumping more than 2 percent in the previous session, as worries about global economic growth muddied the outlook for demand and offset supply fears stemming from tensions in the Middle East.
Weak risk sentiment coursed through financial markets, pulling down Asian shares and boosting the safe-haven dollar. A firm dollar makes commodities priced in the greenback expensive for holders of other currencies.
Brent crude had slipped 37 cents to $114.13 a barrel by 0652 GMT, after hitting its highest since Sept. 17. U.S. crude fell 38 cents to $92.01 a barrel.
"Oil has been falling as investors weigh supply risks against weaker demand," said Ben Le Brun, a market analyst at OptionsXpress in Sydney. "A lot of growth expectations are being revised down, especially in China."
China's annual economic growth probably slowed for a seventh straight quarter in the July-September period to its weakest level since the depths of the global financial crisis, a Reuters poll showed.
On Tuesday, the IMF said the global economic slowdown was worsening and cut its growth forecasts for the second time since April, warning U.S. and European policymakers that failure to fix their economic ills would prolong the slump.
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But worries about disruptions to supply from the Middle East, where tensions between Turkey and Syria have risen, were helping to keep a floor under oil prices.
The two neighbours have repeatedly exchanged fire since last week after Syrian shells struck a border town in Turkey killing five civilians.
NATO said it had plans in place to defend Turkey against an attack from Syria, and would aim to provide assistance if Ankara asked for it.
"The geopolitical risk premium was boosted from mounting tensions between Turkey and Syria," ANZ analysts said in a note.
"This has increased supply disruption concerns, particularly if the Syrian conflict begins to hamper oil production in northern Iraq."
Tension in the Middle East and delays to North Sea Forties loadings pushed Brent's premium to U.S. crude to its widest in nearly a year at $23.13 a barrel on Tuesday.
Reuters market analyst Wang Tao said the spread may have peaked in a support zone between $22.79 and $24.34 per barrel and could narrow towards $16 over the next four weeks.
Investors are now looking to scour data on weekly inventories from the United States due to be released this week for hints on demand at the top oil consumer.
Analysts polled by Reuters forecast a 1-million-barrel build in crude stockpiles for the week to Oct. 5.
The API report will be released later on Wednesday and the EIA data on Thursday, delayed a day by the Columbus Day holiday.
(Editing by Himani Sarkar)
Keywords: MARKETS OIL/