Big fuel price hike set for September 8 after last week’s rollback

US Treasury Secretary Scott Bessent said on Tuesday that a deal to reopen the Strait of Hormuz to normal shipping traffic could be reached within a day or two, as diplomatic activity intensified across the Gulf region. Speaking in a television interview, Bessent said American officials are in active discussions with Iranian counterparts and expressed optimism about a near term breakthrough. “There is a chance we may have a deal today or tomorrow,” he said, adding that the goal is to move toward a more normalized posture in the conflict. Asked whether any agreement would let Iran charge ships a toll for using the waterway, Bessent said he expects the outcome to guarantee freedom of movement rather than a fee based system. He noted that vessel traffic through the strait has picked up in recent days despite lingering danger, and predicted that energy prices would ease once a deal takes hold. His comments followed a report from The New York Times saying Iran and Oman have moved close to an arrangement that would restore commercial shipping through the strait. Under the terms described in that report, inbound vessels would travel through a corridor close to the Iranian coast while outbound ships would use a route nearer Oman. Iranian officials told the newspaper that no formal tolls would apply, though they said a service charge tied to environmental protection, cargo security and staffing costs would be split evenly between Tehran and Muscat. A US official pushed back on that characterization, calling the Iranian version inaccurate and insisting any temporary shipping lanes would not need Iranian sign off or involve fees. The report also noted that some Pentagon officials worry the arrangement could look like a concession to Tehran, while some Iranian officials privately questioned whether it would actually stop further American strikes. Qatar’s Foreign Ministry said Tuesday that mediators including Doha, Pakistan and Oman continue to coordinate closely to bridge the gap between Washington and Tehran, exchanging draft proposals between the two sides. Ministry spokesperson Majed Al Ansari said there is still no clear timeline for a final agreement, and Qatar separately called for a return to normal conditions in the strait while diplomacy continues. Tension over the waterway remained visible even as talks progressed. A dry bulk carrier called the Minoan Pioneer, sailing under the Liberian flag, was struck by an unidentified projectile near Oman’s coast on Tuesday, according to maritime security sources. The strike reportedly hit the engine room and sparked a fire in the crew’s living quarters, forcing the entire crew to abandon ship. One crew member, the vessel’s third engineer, was reported missing. The ship’s Greece based operator did not immediately respond to requests for comment. The incident followed an earlier report from the UK Maritime Trade Operations center, which said a separate cargo vessel had broadcast that it was hit by an unknown projectile about 20 nautical miles northeast of Khasab, Oman. No group has claimed responsibility for either strike, and authorities have opened an investigation. In Tehran, President Masoud Pezeshkian used a televised address to reject reports that he had offered his resignation amid the ongoing standoff with Washington. “If I were going to resign, I would announce it publicly,” he said, denying any rift with Supreme Leader Ali Khamenei or the armed forces and insisting the leadership is working in full coordination. He separately said Iran intends to defend its territorial integrity but has no interest in expanding the conflict, while claiming Iranian missile and drone strikes had disrupted US military goals during a recent 17 day period of fighting. The regional picture grew more complicated elsewhere. Yemen’s Houthi movement claimed responsibility for a drone strike on Najran Airport in southern Saudi Arabia, with military spokesman Yahya Saree saying the attack struck its target accurately. He described the strike as retaliation for alleged Saudi drone incursions over Yemen’s Saada and Hajjah provinces and warned that further violations would draw a response. Saudi authorities had not commented on the claim as of Tuesday. In Lebanon, a seventh round of direct negotiations with Israel opened in Rome under American sponsorship, continuing talks tied to a framework agreement the two sides signed in June covering a phased Israeli withdrawal from Lebanese territory in exchange for Lebanese army deployment and the disarming of armed factions, a clear reference to Hezbollah. Hezbollah Secretary General Naim Qassem used a speech at an Arbaeen commemoration in Baalbek to criticize the talks, saying they have delivered only “shame, humiliation, despair and repeated concessions” for Lebanon. He accused Lebanese President Joseph Aoun of acting with bias rather than serving as a unifying figure and argued that only the earlier US brokered truce between Washington and Tehran had kept Israeli strikes at bay. Financial markets showed relief at the signs of diplomatic movement. Brent crude futures fell about 7 percent to near $83.77 a barrel on Monday, while the Dow Jones Industrial Average closed at a record high. Asian stocks and oil prices ticked higher again on Tuesday. In a Truth Social post, Trump described Iran’s leadership as “unbelievably duplicitous” while claiming more talks were scheduled for the near future. He also reasserted that the US Navy maintains full control over the strait, writing that nothing passes through unless Washington allows it. The exchange fits a broader pattern that has defined the conflict since it began roughly five months ago under the codename Operation Epic Fury. Trump has repeatedly threatened major military escalation only to step back and cite diplomatic openings, while Iran has publicly refused direct talks with Washington since a memorandum of understanding both sides signed collapsed in early July. Washington maintains that June’s memorandum obligated Iran to open the Strait of Hormuz to shipping, while Tehran insists the agreement preserved its authority over traffic through the waterway, a disagreement that continues to sit at the center of the standoff.