Negotiations are underway for a temporary 60-day agreement to regulate commercial passage through the Strait of Hormuz, according to reports citing regional sources.
The proposed interim deal aims to stabilize the vital waterway between Iran and Oman, providing a structured framework for navigation amid heightened geopolitical tensions.
The development follows a stark ultimatum from US President Donald Trump, who stated that the strait would be reopened for navigation "very soon" or face severe consequences.
Trump’s comments, made in New York, underscore the pressure on Tehran to allow safe transit for global energy shipments.
The US president also confirmed that American forces had struck Iran "very hard" overnight, while insisting that the waterway remains open for commercial traffic.
For traders, the prospect of a formalized interim agreement represents a potential catalyst for reducing the risk premium embedded in energy and shipping assets.