Strait of Hormuz Deal in Sight, Brent Plunges Below $80

Traffic through the strait remains sharply reduced. Kpler data show only nine vessels have passed through in recent days, compared with 130–140 before the Middle East conflict began. The American Petroleum Institute estimated flows have dropped from 20 million barrels a day to 6 million. A breakdown in talks, traders said, would quickly tighten the oil market and push prices back toward recent highs.

Bessent also said the US would participate in coordinated yen intervention to prevent a chain reaction of currency depreciation. He cited the 1990s Asian financial crisis as an example of how yen weakness can fuel global instability. The dollar's decline was driven largely by the Iran news, traders said. Bessent's earlier comments on yen intervention added to the move. They were not the primary factor, traders said.

A meeting between Iranian and Omani officials is scheduled later this week. Traders said the outcome will determine whether the strait fully reopens.