US and Iran report progress in talks to reopen Strait of Hormuz

President Donald Trump signaled progress in talks with Iran to avoid renewed war, saying a deal "could happen" as Tehran offered to reopen the Strait of Hormuz under strict conditions. Oil prices plunged over 8 percent on optimism about ending the eight-month conflict. Iran said "intensive" indirect talks were underway via mediators including Qatar and Pakistan, proposing a two-day plan to reopen the strait if Washington meets demands such as lifting oil sanctions and unfreezing assets. Vice President JD Vance expressed optimism, while Iran called US messages "an acknowledgement of our victory." The diplomatic push comes ahead of Tuesday's US midterm elections, where Trump's Republicans face voter dissatisfaction over the war and fuel prices. Iran warned any aggression would meet a "powerful, immediate and comprehensive response," while China urged peaceful resolution.