Trump Says Iran War Could Reach Deal as Hormuz Talks Gain Momentum

US President Donald Trump has indicated that a diplomatic agreement with Iran could be possible as Washington and Tehran hold renewed discussions over the conflict and the future of the Strait of Hormuz.

The latest diplomatic activity comes as the conflict continues to affect global energy markets. Iran has said it could reopen the strategically important Strait of Hormuz within a week if the United States reduces military pressure and lifts its blockade of Iranian ports.

Trump said US special envoy Steve Witkoff and Jared Kushner held talks with Iranian representatives in New York. The discussions, conducted through mediators, lasted several hours. Witkoff later described the talks as constructive, while Trump said there was momentum toward a possible agreement.

Hormuz Reopening Linked To US Concessions

The Strait of Hormuz has become a central issue in the negotiations because of its importance to international oil shipments. Tehran has linked any reopening of the waterway to a reduction in US military pressure and the removal of restrictions affecting Iranian ports.

Iran submitted a proposal to Washington through mediators on September 16, according to a senior Iranian official cited by Reuters. Iranian officials have indicated that their delegation attending the UN General Assembly has authority to pursue diplomatic discussions.

The potential reopening of the waterway has also contributed to a decline in oil prices. Brent crude moved toward $98 a barrel on Wednesday before recovering slightly, while US West Texas Intermediate crude fell below $90 a barrel.

Trump Maintains Pressure On Tehran

The diplomatic contacts followed Trump's address to the United Nations General Assembly, where he warned that Washington could either pursue an agreement with Iran or escalate the conflict further.

Iranian military officials responded by warning that any further attacks could trigger a stronger response from Tehran. The exchange of threats came alongside efforts by mediators to keep negotiations moving.

Trump has also called for Iran to face greater economic isolation while saying he expects diplomacy could eventually produce an agreement. Tehran, meanwhile, has continued to make the reopening of Hormuz conditional on changes to US military and economic measures.

Gulf States Seek Regional De-escalation

Countries in the Gulf are also involved in diplomatic efforts aimed at reducing tensions and restoring freedom of navigation.

Qatar has been working with Pakistan on efforts to lower tensions between Washington and Tehran, while Qatar's leadership has discussed regional security arrangements involving Iran and Gulf states. Trump also held discussions with leaders and senior officials from Gulf Cooperation Council countries, Türkiye, Jordan, Syria and Iraq during the UN gathering.

The developments have created cautious optimism in financial markets. Asian stocks rose on Wednesday as oil prices continued to decline, with investors watching diplomatic efforts to resolve the conflict and restore shipping through Hormuz.

For now, negotiations remain focused on the conditions for ending hostilities and reopening the Strait of Hormuz, while military tensions between the US and Iran continue.