LONDON: Oil prices rose Thursday as Europe's assault on the Islamic State triggered the possibility of supply risks in the crude-rich Middle East, analysts said.
The market was buoyed also by the latest US energy stockpiles data and following reassuring comments from the Federal Reserve over the economy.
At about 1230 GMT, US benchmark West Texas Intermediate for delivery in December was up eight cents at $40.83 a barrel.
Brent North Sea crude for January delivery rose 26 cents to $44.40 a barrel compared with Wednesday's close.
"Strikes against the Islamic State could worsen the geopolitical tensions in the oil-producing Middle East region and this supports crude prices," said EY analyst Sanjeev Gupta.
A global crude glut and weaker Chinese demand have been weighing on oil prices for months.
And although US crude stockpiles rose last week, crude prices won a slight lift from the figures as they were well below market expectations.
Official data Wednesday from the US Department of Energy showed a modest rise in commercial crude stockpiles in the world's top oil consumer.
Crude inventories rose 300,000 barrels to 487.3 million in the week ended November 13 compared with expectations that they would rise by up to two million barrels.
The market was meanwhile keeping a close watch on developments between IS and major world powers, as well as growing prospects for a US interest rate hike in December.
Minutes from the Fed's October policy meeting showed "most participants" expected conditions to be right for an interest rate rise by their December gathering, having broadly dropped their worries about the global economy.
"China's November economic data to be released next week may also impact crude prices," Gupta added.
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