Oil prices dropped on Tuesday as the US energy secretary signalled more ships were managing to transit the Strait of Hormuz, prompting optimism that the supply crunch gripping global markets could soon ease.
Brent crude, the international benchmark, slipped 3 per cent to settle at $91.45 a barrel. US marker West Texas Intermediate slid 3.4 per cent to $88.20.
Both benchmarks had fallen further earlier in the day but cut their losses after President Donald Trump said Iran had shot down an American helicopter over the strait, and vowed to “respond” to the attack.
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