As the assassination of a Hamas leader in Iran heightened tensions in the Middle East and overshadowed concerns about weak Chinese demand, oil prices soared on Wednesday, rebounding from seven-week lows.

American West Texas Intermediate crude futures rose $2, or 2.68%, to $76.73 per barrel. A 0.4% drop in the US dollar index also supported prices. Brent crude oil futures climbed $1.80, or 2.29%, to $80.43 per barrel at 10:38 GMT before expiration on Wednesday, while the more active October contract was up $1.85 to $79.92

Brent and WTI prices both fell by around 1.4% the day before, closing at their lowest level in seven weeks. Tension in the Middle East intensified after the announcement of the assassination in Iran of Hamas leader Ismail