The U.S. and Iran are reportedly moving closer to a deal that would reopen the Strait of Hormuz, a critical global shipping route.
According to recent reports, Iran has proposed a framework to restore the flow of maritime traffic in exchange for postponing nuclear negotiations.
The Strait of Hormuz, through which nearly 20% of the world's oil supply passes, has been a focal point of geopolitical tensions in recent months.
The talks, which are being mediated through Pakistan, mark a potential turning point in easing regional tensions that have disrupted trade and energy flows.
The prospect of a deal has already begun to influence.
Oil prices, which had been elevated due to shipping concerns, have seen a modest decline as investors reassess the risk of prolonged disruption.
The Strait of Hormuz, through which nearly 20% of the world's oil supply passes, has been a focal point of geopolitical tensions in recent months.