Crude oil prices settled more than 2% higher at above $112 per barrel on Thursday recovering from earlier losses as traders worried that easing of the COVID-related restrictions in China would limit the supply further. EIA data showed US crude inventories unexpectedly fell last week, as refiners ramped up output in response to tight product inventories and near-record exports.

On the other side, Russia’s Deputy Prime Minister Alexander Novak said oil production decreased by about 1 million bpd in April but increased by 200,000 bpd to 300,000 bpd in May. Meanwhile, the EU proposal on a total ban of oil imports from Russia in six months’ time has been delayed due to a holdout from some member states.