Oil prices drop as US-Iran tensions ease, Brent falls 3.89%

International oil prices fell sharply on Tuesday, extending a two-day decline amid expectations of eased US-Iran tensions. Brent crude for October delivery dropped 3.89% to $88.58 per barrel on London's ICE exchange. US West Texas Intermediate crude also fell 3.12% to $82.36 per barrel on the New York Mercantile Exchange. Markets analyzed that Washington's focus on economic sanctions rather than military pressure has reduced concerns over supply disruptions. US Treasury Secretary Bessent announced plans to intensify economic pressure on Iran but did not specify targets or timing, offering related nations time to comply. Analysts noted the shift from military conflict to economic pressure eased market anxiety, though supply risks remain.