US Treasury Secretary Scott Bessent said on Tuesday 4 August 2026 that the United States and Iran could reach an agreement to reopen the Strait of Hormuz as soon as Tuesday or Wednesday, with freedom of movement for commercial shipping, according to CNBC and the Financial Times. The remarks sent oil prices down about 4% and lifted US equity futures, with Dow futures up 642 points, as reported by TechTimes.
The Strait of Hormuz, a critical conduit for global oil and gas shipping, has been blockaded by Iran since late February, after the start of the US-Israeli assault on the country, according to The New York Times. The blockade caused widespread economic shock.
By Wednesday 5 August, oil prices were at a three-week low, with Brent crude trading below $80 a barrel, according to The Star.
Not all signals point to a quick deal, however. Iran denied that the two sides are holding talks to resolve the more than five-month conflict, and earlier US statements signaling an imminent agreement had proven overly optimistic, Reuters reported. Separately, President Donald Trump said Iran would be "hit very hard" if the strait does not open soon, as reported by The Star. TechTimes also noted that even a signed agreement would leave mine clearance and a backlog of hundreds of ships to be resolved before traffic could fully resume.
Sources
- CNBC — "U.S.-Iran deal to open Hormuz could come Tuesday or Wednesday..." (primary source): https://www.cnbc.com/2026/08/04/bessent-says-there-may-be-deal-tuesday-or-wednesday-to-open-strait-of-hormuz-with-freedom-of-movement.html
- Financial Times — "Oil falls after Bessent says deal to reopen Strait of Hormuz...": https://www.ft.com/content/1ed68c71-e1e8-4ae5-a965-5380cbdeaa22
- The New York Times — "Strait of Hormuz Deal With Iran Possible Soon, Bessent Says": https://www.nytimes.com/2026/08/04/world/middleeast/strait-of-hormuz-deal-progress.html
- Reuters (via Yahoo News) — "Iran denies Trump claim...": https://www.yahoo.com/news/politics/articles/iran-denies-trump-claim-u-111708718.html
- The Star — "Trump says Iran will be 'hit very hard' if Hormuz Strait not open soon": https://www.the-star.co.ke/news/world/2026-08-05-trump-says-iran-will-be-hit-very-hard-if-hormuz-strait-not-open-soon
- TechTimes — "Bessent Signals Hormuz Deal in Hours...": https://www.techtimes.com/articles/322943/20260804/bessent-signals-hormuz-deal-hours-mine-clearance-ship-backlog-delay-us-gas-price-relief.htm
