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Market Chatter: Bessent Says US, Iran May Reach Deal to Reopen Hormuz by Tuesday-Wednesday

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US Treasury Secretary Scott Bessent has said Iran and US may reach an agreement to reopen the Strait of Hormuz waterway by Tuesday or Wednesday, he told CNBC Tuesday.

The US is in talks with Iran and there is a chance a deal could be reached on Tuesday or Wednesday to reopen the strait and for both countries to move toward a more normalized position in the conflict, Bessent told CNBC's Squawk Box.

He said an agreement would allow free movement for commercial ships through the strait when asked whether Iran would be permitted to charge a toll.

US President Donald Trump stated on Monday that negotiations with Iran are continuing, describing the diplomatic push as Tehran's "last chance" while prioritizing the reopening of the Strait of Hormuz.

Trump noted that talks are ongoing at the request of Iran and regional partners, including Saudi Arabia, the UAE, and Qatar, despite Tehran's earlier denials.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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Hormuz Traffic Remains Subdued as US Blockade, Risks Weigh on Shipping

Commercial vessel traffic through the Strait of Hormuz remained subdued on Aug. 2, while shipping activity via the Bab el-Mandeb also eased, as heightened security risks and military activity continued to disrupt traffic across two of the world's key energy chokepoints.The latest data from MarineTraffic for Aug. 2 showed just nine crossings through the Strait of Hormuz, compared with 23 on July 31 and 11 on Aug. 1."Strait of Hormuz crossings totalled 43 from 31 July to 2 August, with 23 crossings on 31 July, 11 on 1 August and 9 on 2 August," MarineTraffic said.Five vessels exited the Middle East Gulf while four entered on Sunday. Seven ships used the Iranian Unilateral Scheme, two followed undetermined routes, and none used the International Maritime Organization's traffic separation scheme.The marine data analysis platform said the daily total included two vessels under sanctions and two ships linked to the shadow fleet.Daily traffic through the Bab el-Mandeb also declined, with 30 crossings recorded on Aug. 2 versus 41 on July 31 and 37 on Aug. 1.Marine Traffic said that 20 vessels exited the Red Sea while 10 entered. One vessel conducted a dark transit with its Automatic Identification System switched off, while two sanctioned vessels and three shadow fleet ships were identified.Meanwhile, subdued traffic comes as US military continues to enforce a blockade targeting Iranian shipping.The US Central Command said that, as of Aug. 3, it had redirected 44 commercial vessels, disabled two vessels and boarded another two as part of blockade enforcement operations.The Joint Maritime Information Center said traffic via the Hormuz remained at reduced levels, with independent tracking data showing only single-digit tanker movements in both directions.The maritime security agency said that shipping companies continue to delay or reschedule voyages following earlier attacks in the region, while a significant number of vessels have been transiting with AIS signals switched off, reducing visibility for commercial tracking systems.Iran's Islamic Revolutionary Guard Corps continued to disrupt vessels through radio hailing, unmanned aerial vehicle overflights and surveillance operations, while warning that drifting or uncharted mines remained a threat near the traffic separation scheme.Shipping in the southern Red Sea and Bab el-Mandeb continued despite elevated security concerns following a previously confirmed Houthi attack on a Saudi-flagged tanker.The UK Maritime Trade Operations said the Houthis have reiterated warnings that the Bab el-Mandeb is closed to Saudi-affiliated vessels. However, the Houthi-controlled Humanitarian Operations Coordination Center said passage remains free for non-Saudi and non-coalition ships, the maritime security agency said.On Thursday, Saudi Arabia's defense ministry said it is considering setting up a 43-nation maritime coalition to protect freedom of navigation, energy infrastructure and commercial shipping across the Red Sea, Bab el-Mandeb and Gulf of Aden through joint patrols, intelligence sharing and enhanced maritime surveillance.The UKMTO said that open-source tracking continued to show daily Bab el-Mandeb transits ranging between 20 and 40 vessels, though volumes fluctuate from day to day.Coalition naval forces remain deployed across the area, the UKMTO said.

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US Oil Update: Crude Slides as Trump, Iran Send Mixed Signals on Peace Talks

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Trump Calls Iran Talks 'Last Chance' as Strait of Hormuz Reopening Tops Agenda

US President Donald Trump said Monday that Iran negotiations are continuing after he delayed planned military action, calling the talks Tehran's "last chance" while prioritizing reopening the Strait of Hormuz.The president made the remarks while speaking to reporters after signing an executive order at the White House.Trump said US and Iranian officials currently remain in talks despite Tehran's earlier public denials. "We're talking, and we're talking at the request of Iran, backed by Saudi Arabia, backed by UAE, and backed by Qatar in particular, but others also," he said.He said the US had prepared a major military strike before postponing the operation after Iran sought negotiations."We were going to hit them very hard yesterday [Sunday]...," he said, adding, "... this is a last chance for them to sign a good document."Trump said he still has military options available but prefers diplomacy. "I want to give them every last chance before decapitation," he added.Trump said reopening the Strait of Hormuz remains the immediate priority. "We're talking about the Strait... having it open literally by tomorrow, completely open, and that's phase one," he said.He said negotiations would then shift to Iran's nuclear program. "The second phase will be the denuclearization and that'll take a little while," Trump said.Asked whether Iran could impose transit charges in the Strait of Hormuz, Trump rejected the idea. "I'm not going to let them charge," he said."If anybody's going to charge, we'll charge," Trump said, adding the US has "total control" of the waterway.Trump also linked a potential agreement with lower energy prices. "You're going to see oil, when we're finished with Iran, you're going to see the prices drop through the floor," he said.He criticized major US oil producers for reporting strong earnings. "They're making too much money... they better cut the retail price, the consumer price," Trump said of Exxon Mobil (XOM) and Chevron (CVX).Trump also urged the UK to expand North Sea oil production, arguing the country could sharply reduce energy costs."You could cut them [prices] in half. You could give away free energy if you'd open up the North Sea ...," he said.

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