Oil futures dived more than $ 5 per barrel on Thursday morning about news that Biden’s administration weighed released around 1 million oil barrels per day from strategic reserves for several months in an effort to calm crude oil prices.

Brent Futures fell $ 4.71, or 4.2%, to $ 108.58 per barrel and A. West Texas futures fell $ 5.45, or 5%, to $ 102.74 a barrel on 0035 GMT.

Biden administration will comment later on Thursday where it is expected to announce the plan, which aims to reduce gasoline prices that have reached a record level after Russian invasion to Ukraine. Prices have settled around 3% on Wednesday, driven by supply concerns as peace talks between Russia – who mentioned their actions “special operations” – and Ukraine seemed to be stopped.

“This is a sentiment surprise, but if history has recently shown whatever the backup release will only be temporary and similar improvements to placing band help on broken legs,” said Stephen Innes, SPI Asset Management Mitra Management.

In early March, the Biden government said it would release 30 million barrels from its strategic reserves as part of a global release of 60 million barrels in lower efforts.

This release came as US oil stocks fell 3.4 million barrels of the week until March 25, exceeded the estimated drop of 1 million barrels, but the request was implied for gasoline and distillation also declined.

A clear slowdown in demand emerged as US production to 100,000 barrels per day to 11.7 million BPD after stagnating at 11.6 million BPD since early February.