US-Iran Deal Bets Send Oil Prices Plummeting

Oil prices plummeted sharply on Tuesday as traders bet heavily that an agreement between the US and Iran was imminent. Crude futures slid $4.70, or 5.85%, to $75.64 per barrel for West Texas Intermediate, while Brent dropped $4.61 to $79.16.

These benchmarks hit three-week lows as optimism grew that a deal might restore passage through the Strait of Hormuz. The US has been in talks with Iran and Oman, with Treasury Secretary Scott Bessent saying a pact could materialize on Tuesday or Wednesday.

President Donald Trump went further, calling a deal to reopen the strait and rid Iran of nuclear weapons imminent. However, Iran offered a more measured account, denying direct talks with Washington and stating it was engaging through Omani mediators.