Oil Prices Plummet, World Markets See Surge Amid Easing Iran Tensions

World markets saw a surge in activity on Monday as tensions between the US and Iran appeared to ease, leading to a sharp drop in oil prices.

The price of Brent crude fell by 6.8% to $85.49 per barrel, while US benchmark crude dropped 7% to $83.06 per barrel.

Stephen Innes of SPI Asset Management said that the 'sharp retreat' in oil prices had loosened the geopolitical knot that had been tightening around equities, currencies, bonds and central banks.

In Asia, Japan's Nikkei 225 rose by 0.5% to 64,931.19, while Hong Kong's Hang Seng climbed 1% to 25,207.18.

The Shanghai Composite index gained 1.2% to 3,858.25, with shares in Chinese memory chipmaker CXMT soaring 466% as they began trading on the Shanghai technology board.