Oil prices fall as Iran says it is open to diplomacy to end the war
XLE•Diesel export ban talk and US inventories
Traders also evaluated possible curbs on diesel exports. Ultra-low-sulfur diesel futures were down about 5% in midday trading after website Politico said the Trump administration was preparing plans for a 90-day diesel ban, but the White House denied this.
US Energy Secretary Chris Wright had said earlier on Wednesday that a diesel export ban would not work even though Trump said he would support it.
Analysts and market watchers have warned that such a move would do little to ease high energy prices and could worsen global supplies and further disrupt economies.
US distillate stockpiles including diesel and heating oil fell by 428,000 barrels to 107.4 million barrels last week, Energy Information Administration data showed.
Meanwhile, US crude inventories rose by 3 million barrels to 426.4 million barrels last week, though analysts polled by Reuters had expected a 641,000-barrel draw. EIA/S
