U.S. and Iran Near Agreement to Reopen Strait of Hormuz Early Next Week

U.S. Treasury Secretary Scott Bessent told CNBC that talks with Iran could produce an agreement as early as Tuesday or Wednesday to reopen the Strait of Hormuz for unrestricted commercial shipping. He said a deal would provide "freedom of movement" for vessels and could lead to a rapid decline in oil, fertilizer, refined product and industrial gas prices as hundreds of ships trapped in the Persian Gulf are able to depart.

U.S. crude oil futures fell about 3% to below $78 a barrel following Bessent's comments, and he projected further price reductions once traffic resumes. The United States and Iran signed a memorandum of understanding on June 17 to restore navigation, but the agreement stalled after disputes over the specific transit route. Iran has since targeted tankers passing through the strait outside its territorial waters, while the United States responded with airstrikes and a naval blockade.

President Donald Trump announced that he had halted a planned attack on Iran to allow negotiations on Hormuz to proceed.