BEIJING (Reuters – Oil prices rose on Wednesday morning after dropping more than $1 a bar earlier. The Russian invasion of Ukraine continued to dominate volatile trading, and ceasefire talks was the market’s latest trigger.

Futures rose 0.8% to $100.74 per barrel, or 83 cents at 0120 GMT. U.S. West Texas Intermediate crude oil (WTI), rose 0.6% to $97.02 per barrel, or 58 cents. Brent dropped to $98.86/barrel while WTI fell to $94.90/barrel.

In a video message released Wednesday morning, Volodymyr Zelenskiy, the Ukrainian president stated that both Russia and Ukraine were more realistic positions at peace negotiations. However, more time is needed.

Analyst at CMC Markets Tina Teng said that traders are still waiting for more information from the ceasefire negotiations after a selloff on the oil markets. However, crude prices could continue to be under pressure because high inflation will ultimately drag down economic growth and weaken demands.

Oil settled below $100 Tuesday for the first-time since February. The volatility in trading has been evident since the Russian invasion of Ukraine, Feb. 24, when prices reached 14-year lows on March 7. However Brent and WTI have fallen almost $40 each since then. WTI is down about $34.

In recent times, prices have been under pressure due to concerns about slowing China’s demand. China is the most populous nation in the world and the second largest oil buyer. It also has strict measures in place to stop the spread COVID-19.

According to anonymous sources who spoke under condition of anonymity, inventories increased by 3.8 Million barrels in the American Petroleum Institute’s week ending March 11. Inventories for gasoline fell by 3.8million barrels while inventories of gasoline dropped by 3.8 Million barrels. Distillate stocks rose by 8888,000 barrels.

On Wednesday, the official U.S. Government inventory data will be available.