Oil prices rose underpinned by signs that demand may improve China and the US, the world’s biggest oil consuming nations, and growing concerns of a widening conflict in the Middle East that could affect supply from region, Reuters reports.

Brent futures for June delivery rose 41 cents to $87.83 a barrel by 0440 GMT. US West Texas Intermediate (WTI) crude futures for May rose 41 cents to $84.12 a barrel.

“The bullish catalysts for oil prices continue to pile up, with stronger-than-expected economic conditions in China and the US offering a more optimistic demand outlook, while geopolitical tensions in the Middle East continue to heat up with the involvement of Iran,” said IG market strategist Yeap Jun Rong in an email.

In the Middle East, an Israeli strike on Iran’s embassy in Syria killed seven military advisors, among them three senior commanders, marking an escalation in the conflict in Gaza between Israel and Hamas, which is supported by Iran. A widening of the conflict that has stretched for nearly half a year to include Israel directly fighting Iran has sparked concerns about impacts on oil supply.