The cost of benchmark Brent crude dropped 8% to 87.55 US dollars a barrel at one stage in ongoing heightened volatility in oil and gas markets.

Oil prices dropped after the US and Iran avoided fresh strikes. Brent fell below $93 as supply fears eased, though Middle East tensions continue to cloud the outlook.

Oil prices tumbled sharply on Monday after the United States and Iran held back from launching fresh strikes over the weekend, raising hopes that diplomacy could ease tensions in…