European stock indices rose broadly on Thursday, recovering from sharp losses in the previous session due to a tough stance by US Federal Reserve officials, but the British market fared worse as the country’s largest oil company, Shell, increased the cost of writing down its Russian assets.

By 03:50 a.m. ET (07:50 GMT), Germany’s DAX index was trading 0.3 percent higher, France’s CAC 40 was up 0.4 percent and Britain’s FTSE 100 was down 0.4 percent.

The main corporate news on Thursday was from the oil sector, with British energy giant Shell saying it would write off up to $5 billion following its decision to pull out of Russia, more than previously reported.

The after-tax impairment of between $4 billion and $5 billion in the first quarter will not affect the company’s earnings, as it said ahead of its earnings report. The company had previously estimated the write-downs in Russia would be about $3.4 billion.

Shell shares fell 1.1% and BP shares fell 1.4% as the rival company also faces significant asset write-downs in Russia. The decline in these two stock heavyweights caused the FTSE 100 index to underperform its European peers.

Major European indices recovered from sharp losses on Wednesday, boosted by expectations that the U.S. central bank is poised to act more quickly to tighten its grip on the U.S. economy to curb inflation.

Investors remain concerned that a more substantial Fed interest rate hike to fight inflation would severely curtail growth in the world’s largest economy and become a major global driver.

Earlier this week, Deutsche Bank became the first major Wall Street bank to warn of a recession in the U.S., predicting a downturn in the economy by the summer of 2023.

German industrial production rose 0.2% in March from the previous month in February, which was better than expected, but still a big drop from the previous month’s 2.7% increase. All eyes will now turn to the release of Eurozone retail sales data for February.

Investors also continue to monitor developments related to the conflict in Ukraine after the United States announced new measures against Moscow on Wednesday, including sanctions on major banks and a ban on Americans investing in Russia.

Oil prices recovered on Thursday after falling sharply in the previous session on news that a number of major consuming countries will release oil from their emergency reserves to make up for the loss of supplies from Russia.

Member countries of the International Energy Agency announced Wednesday that they would release $60 million barrels of oil, in addition to the 180 million barrels announced by the United States last week.

Adding to Wednesday’s setback was data from the U.S. Energy Information Administration showing that the country’s crude inventories rose by more than 2 million barrels last week, their first increase in 3 weeks and raising questions about energy demand in the world’s biggest oil-consuming nation.

By 03:50 a.m. ET (08:50 GMT), WTI futures were trading higher by 0.4% to $96.58 a barrel, while the Brent crude contract rose 0.3% to $101.33. Both contracts were down more than 5% on Wednesday, falling to 3-week lows.

In addition, gold futures rose 0.2% to $1926.30 an ounce, while EUR/USD rose to 1.0897.