Crude Falls as US, Iran Discuss Phased Hormuz Deal

Officials said on September 24, 2026 that US and Iranian representatives discussed a phased arrangement to reopen the Strait of Hormuz and end the US economic blockade; crude fell and Treasuries eased after the report.

Phased transit proposal

A senior Iranian official said the most plausible route would be a step-by-step deal in which Tehran allows navigation through Hormuz while Washington rolls back parts of its sanctions and restores some access to frozen assets. Officials said Iran signalled flexibility on transit fees but not on who formally controls passages through the strait; Gulf states rejected any arrangement that handed Iran operational control.

Officials cautioned the conversations represent a proposal rather than an agreement. Both sides appeared unwilling to relinquish leverage first, officials said, leaving the sequencing of steps—who concedes what, and when—as the central obstacle. Data showed traders treated the report as a potential path to steadier oil flows but not a settlement: prices moved down modestly, reflecting reduced near-term disruption risk while uncertainty about implementation remains.

Market participants will watch for formal statements or visible changes in tanker transits by September 30, 2026; those signals will determine whether the report narrows the risk premium in oil.