# US and Iran to resume negotiations on Monday Hopes rise for a deal on the Strait of Hormuz and nuclear program. - **Source:** [US Top News and Analysis](https://brifing.si/source/635540e9-943e-450d-ae52-ae0bfe3b67eb) - **Published:** 2026-08-03 - **Topic:** [Business](https://brifing.si/c/business) - **Original article:** - **On Brifing:** https://brifing.si/s/e9823f86-067e-4807-9e71-9733a5614584 ## Negotiations to begin US President Donald Trump announced that negotiations with Iran will begin on Monday. Trump stated that he canceled planned military operations at the request of Saudi Arabia, the UAE, Qatar, and Iran. He hinted that a deal on reopening the Strait of Hormuz and Iran's nuclear program is imminent. ## Iran's stance Iranian Foreign Ministry Spokesperson Esmail Baghaei downplayed expectations of direct talks with the US. Baghaei reiterated that Iran is currently only engaged in talks with Oman regarding the Strait of Hormuz and has no plans for negotiations with the US. This stance casts uncertainty over the negotiations. ## Oil market fluctuations Oil prices declined following diplomatic developments. West Texas Intermediate (WTI) crude fell by 6% to $79.66 per barrel, while Brent crude dropped 5.16% to $83.39. Traffic through the Strait of Hormuz has decreased by 80% compared to pre-war levels but is showing signs of recovery amid diplomatic progress. ## Strategic importance of Hormuz The Strait of Hormuz is a critical chokepoint for one-fifth of global oil supply. Its closure or reduced traffic directly impacts global energy prices. Talks between Iran and Oman focus on future governance of the strait, aiming to establish a new maritime framework to ensure stability. ## BMI's analysis Fitch Solutions' BMI unit noted that a diplomatic agreement to reopen the Strait of Hormuz is achievable this quarter. However, it raised the probability of escalation to 35% from 25%, citing mounting military, diplomatic, and economic tensions between the US and Iran. Analysts warned that miscalculations could trigger renewed conflict. ## Ongoing maritime risks While diplomatic talks progress, maritime risks persist. The UK Maritime Trade Operations (UKMTO) reported an explosion near a tanker off the coast of Khasab, Oman. The vessel and crew were safe, but authorities are investigating the incident, advising ships to transit the area with caution. ## Details of the US proposal Trump's proposal calls for the US and Iran to resume negotiations and address issues that derailed previous diplomatic efforts. The plan includes reopening the Strait of Hormuz and halting attacks by Iran-backed militias in the region. The US would lift its naval blockade on Iran and allow oil exports, though no deal has been finalized. ## Impact of regional tensions Recent escalations in the Gulf region have somewhat cooled following Trump's decision to initiate talks. Kuwait reported Iranian drone incursions into its airspace and attacks on northern infrastructure. Parallel talks with Oman are critical to preventing further escalation of the conflict. ## Sources covering this story - https://www.cnbc.com/2026/08/03/trump-iran-us-negotiations-peace-proposals-.html — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._