Oil prices hold ground after sharp retreat on virus fears

Oil prices inched up in early trading on Thursday after sliding more than 5% in the previous session on worries that a rapid rise in COVID-19 cases could choke a revival in fuel demand, but volumes were thin with China out on a public holiday.

U.S. West Texas Intermediate (WTI) crude futures rose 12 cents, or 0.3%, to $38.13 at 0129 GMT after dropping $2.36 on Wednesday.

Brent crude futures climbed 5 cents, or 0.1%, to $40.36, after falling $2.32 on Wednesday. A day earlier, the benchmark contract hit its highest price since early March, just before pandemic lockdowns and a Saudi-Russian price war slammed markets.