Oil falls after Bessent says a Strait of Hormuz deal may come this week

Oil prices dropped sharply on Tuesday after U.S. Treasury Secretary Scott Bessent said talks with Iran could produce an agreement as soon as this week to open the Strait of Hormuz. Brent crude fell 5.3% to $79.36 a barrel, while West Texas Intermediate lost 5.7% to settle at $75.77. The move came after Bessent said the U.S. was in talks with Iran and that a deal could restore freer movement through the waterway. The Strait of Hormuz is a key shipping route for global oil flows, and concerns about disruptions have been closely watched by markets. Bloomberg reported that Iran may consider letting European countries help clear mines from the strait, though traders remain cautious about whether any agreement would last. Some analysts said a deal could face major obstacles and may have only limited effect on oil exports.