Ok, this seems to be a normal function in extremely hot weather.
Yesterday, where I am in South-east Queensland, the outside temperature was 38-40. My car, which had always run at ~99c, was heating up to that and then suddenly rapidly dropping to exactly 86c. If I stopped and restarted it would go through the same cycle.
I was concerned about it at first, but then I thought maybe it's something Hyundai have done to help protect at least this particular vehicle in extremely hot weather. It just seemed too consistent and coincidental with the hot ambient temps. If so, there must be some means to allow increased coolant flow under those conditions.
Today the temp is 30-32c and lo, and behold, the car is back to running at 99-100c under normal driving conditions, so it would appear this is indeed what is happening. Finding this thread where someone experienced identical behaviour under exactly the same conditions also makes it seem to be by design.
I did consult the manual but I couldn't find any mention of running temps being lower during extreme heat. I may have missed something but you'd think Hyundai would put it in there. Maybe I'll try and get an answer from them.