Oil prices fell sharply on Tuesday as fears that Israel would attack Iranian facilities receded and new forecasts damped the outlook for Chinese demand.
Brent crude, the international benchmark, fell as much as 5.3 per cent in early trading to $73.34 a barrel, before staging a partial recovery to trade 3.8 per cent lower. WTI, its US counterpart, dropped as much as 5.6 per cent before stabilising down 4.1 per cent.
The declines meant crude prices have fallen by a fifth from its peak this year, above $90 a barrel in April.
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