Hormuz Tensions Rise as Trump Denies Iranian Claims of No Talks

US President Donald Trump accused Iran of duplicity on Tuesday, saying that talks to reopen the Strait of Hormuz are ongoing despite Tehran's denials. The diplomatic confusion comes as an attack on a cargo vessel near the strait's Oman coast highlighted the risks faced by shipping in the region.

The international oil benchmark Brent crude rose 2.7% on Tuesday, reflecting uncertainty in the market rather than confidence in the diplomatic process. Trump said that negotiations with Iran were 'going on right now' and that a deal to open the strait could be reached as early as tomorrow.

Treasury Secretary Scott Bessent told CNBC that there was a chance of a deal being reached today or tomorrow to open the strait and move towards a more normalized position in the conflict. However, Iranian Foreign Affairs Ministry spokesperson Esmaeil Baghaei denied any negotiations with the US, saying only that Iran is discussing a temporary safe route through the strait with Oman.

The attack on the cargo vessel near the Oman coast has highlighted the risks faced by shipping in the region, which remains at a trickle of its peacetime flow. The UK Maritime Trade Operations Center reported that an 'unknown projectile' struck the vessel, leading to one seafarer being missing and the crew having to abandon ship.