The U.S. Treasury secretary said a deal with Iran to reopen the Strait of Hormuz could be reached by Wednesday, according to reports. The comments indicated that discussions aimed at restoring passage through the strategic waterway had made progress, though no final agreement was described as complete.
The reported negotiations come after heightened tensions surrounding the strait, a major route for global energy shipments. Other reports said the Trump administration had issued severe warnings to Iran while officials continued diplomatic efforts to resolve the standoff.
Financial markets reacted to the possibility of an agreement. U.S. stocks rose, while oil prices fell on expectations that the strait could reopen and that disruptions to energy transportation might ease. The timing and terms of any deal remained uncertain, and the reports did not indicate whether Iran had formally accepted the proposed arrangement.