Washington: Treasury Secretary Scott Bessent announced that the United States is on the brink of reaching an agreement with Iran to reopen the Strait of Hormuz, potentially as soon as Wednesday. This move is anticipated to bring stability to fluctuating energy prices, a concern for global markets.

According to TRTworld.com, Bessent expressed optimism during a CNBC interview on Tuesday, indicating that negotiations with Iran are progressing. "We are in talks with the Iranians, and I think there is a chance we may have a deal today or tomorrow to open the strait and move towards a more normalised position in this conflict," Bessent stated. He further clarified that the deal is expected to ensure freedom of movement rather than allowing Iran to impose a toll on shipping through the strait.

Bessent's comments align with those made by US President Donald Trump on Monday, who suggested that the reopening of the waterway could occur swiftly, following his decision to de-escalate military threats against Iran. Despite these assertions, Iran's foreign ministry has denied the existence of any ongoing negotiations with Washington.

Adding to the tension, an unidentified projectile struck a cargo ship in the Strait of Hormuz on Tuesday, highlighting the ongoing volatility in the region. This strait remains a focal point of the US-Iran conflict.

Bessent remains positive about the potential impact of an agreement on energy prices. He noted that hundreds of ships are poised to resume operations, which could lead to a significant downturn in energy prices. "Even though things are still a little dicey there over the past few days, we've seen quite a few ships coming out even now," Bessent remarked. He emphasized that stabilized energy prices would benefit the global economy.