Oil holds near two-week lows while diesel cracks hit record peak

London, September 23 - Oil prices settled near their lowest in over two weeks on Wednesday, as Gulf crude supplies improved, while diesel refining margins hit a record high due to potential restrictions on US diesel exports. Brent crude futures edged up 37 cents, or 0.37%, to $99.62 a barrel, while West Texas Intermediate futures slipped 44 cents, or 0.49%, to $90.08.

Brent crude had its lowest point since September 8 in the previous session at $97.36, and WTI had its lowest since September 1 earlier on Wednesday. European low-sulphur gasoil, which trades at a premium to Brent, saw its record premium surge to about $95 a barrel following US President Donald Trump's endorsement of a diesel export ban, aimed at lowering prices that have soared due to a global supply shortage.

Oil prices have been hit this week by increased Gulf supplies and hopes for diplomatic talks to end the Middle East conflict.