Crude prices edged down on Thursday after fluctuation on the news that the U.S. and Britain were thinking of releasing emergency oil reserves, which was later denied by the White House.

U.S. crude price fluctuated between 103.78 dollars to 106.18 dollars driven by the rumors of oil reserves release. There was news saying that U.S. President Barack Obama and British Prime Minister David Cameron had agreed to release oil from the U.S. Strategic Petroleum Reserve in an effort to curb the rising fuel prices. Driven by the news, the U.S. crude price fell more than 1 dollars in the earlier session. But later, the White House official denied the news, which triggered a crude rebound.

The Society for Worldwide Interbank Financial Telecommunication said on Thursday that it would cut ties with Iranian banks, making it more difficult for Iran's oil export to get paid. Oil supplies from Iran could be forced to decline, which was bullish to crude prices.

On the economic front, U.S. initial jobless claims kept declining last week by 14,000, hitting a nearly 4-year low, indicating momentum of U.S. job market. And the manufacturing for March in the New York region was improved. Positive economic data lifted market sentiment.

Light, sweet crude for April delivery slipped 32 cents, or 0.30 percent to settle at 105.11 dollars a barrel on the New York Mercantile Exchange. In London, Brent crude for April delivery also fell and last traded around 124 dollars a barrel.