* U.S. oil falls to 7-week trough
* Deadlock in Italian Senate after weekend polls
* Coming up: Fed chief testimony at 1500 GMT (Adds comment, detail; updates prices)
By Manolo Serapio Jr
SINGAPORE, Feb 26 (Reuters) - Brent crude futures fell by more than a dollar to one-month lows below $114 a barrel on Tuesday as a potential political vacuum in Italy revived worries over instability in the debt-plagued euro zone.
The uncertainty in Rome along with soft manufacturing data from China and concerns the United States may rein in its economic stimulus are clouding the outlook for global fuel demand and could erode oil's modest price gains so far this year.
Italy's centre-left coalition will win a majority in the lower house of parliament but the upper house will be deadlocked, the Interior Ministry said after almost all votes were counted following weekend elections.
"There's a possibility that the Italians might be heading back to the polls. In the short term, investors and traders don't like the uncertainty," said Ben Le Brun, market analyst at OptionsXpress in Sydney.
Brent crude for April delivery hit a session low of $113.30 a barrel, its weakest since Jan. 29. It was down 64 cents at $113.80 by 0153 GMT.
West Texas Intermediate oil for April delivery was down 67 cents at $92.45 a barrel. It touched a bottom of $91.92 earlier, a level not seen since Jan. 4.
Le Brun said he sees support for Brent oil at $110 and for U.S. crude at $90.
Brent crude is up a modest 2.4 percent so far this year, with prices failing to build on a rally to nine-month highs in early February, hurt by signs the global economy remains fragile.
Data on Monday from No. 2 oil consumer China showed manufacturing activity slowed this month from two-year highs in January.
There was also growing concern among investors that the U.S. Federal Reserve could ease up on its bond-buying stimulus programme sooner than expected, and all eyes will be on Fed Chairman Ben Bernanke's congressional testimony later in the day for clues on the Fed's plans.
Expectations the central bank could continue its stimulus to support the U.S. economy had driven appetite for risky assets, and markets suffered a two-day rout last week on fears that could end soon.
There is also worry about a looming spending cut in the U.S., where $85 billion will be slashed from the budget effective on Friday.
"There's a belief in the market that there's going to be some resolution between now and March 1, but there's still a clear and present danger from the fiscal drag to the U.S. economy," said Le Brun.
(Reporting by Manolo Serapio Jr.; Editing by Joseph Radford)
