Trump says Strait of Hormuz deal could come Wednesday as gas prices stay high

Former Deputy National Security Advisor Victoria Coates said Wednesday the Trump administration should continue applying pressure on Iran as negotiations over reopening the Strait of Hormuz move forward.

“The notion that the Iranian regime is playing three dimensional chess is a complete fiction,” Coates wrote on X. “Their top leadership can’t even communicate. Get the Strait open, keep the pressure on and let nature take its course…”

Coates argued Iran’s leadership is weaker than some observers believe and suggested the U.S. should continue using its military and economic leverage rather than easing pressure too soon.

Her comments come as President Donald Trump has expressed optimism that negotiations with Iran are making progress, saying this week that a deal to reopen the Strait of Hormuz could come as soon as Wednesday or Thursday. The administration has also maintained that Iran will never be allowed to obtain a nuclear weapon.

Coates, who served as deputy national security adviser during Trump’s first term and now serves as vice president of The Heritage Foundation’s Kathryn and Shelby Cullom Davis Institute for National Security and Foreign Policy, has consistently argued for maintaining maximum pressure on Tehran.

President Donald Trump said Wednesday that oil and gasoline prices will fall sharply once the conflict with Iran is resolved, arguing that continued progress toward an agreement will deliver relief for American consumers.

Speaking at an event in Las Vegas, Trump predicted oil prices would “go down to the floor” once the situation with Iran ends, saying the drop would quickly translate into lower prices at the pump.

“And as soon as this situation ends with Iran, oil is going to go down to the floor, gasoline is going to go down,” Trump said. “When oil goes down — and it’s going to go down very rapidly — it’s happening very soon.”

Trump also touted his administration’s handling of inflation, saying it inherited “the worst inflation in the history of our country” and has since brought prices down. He pointed to oil trading at about $75 per barrel on Wednesday as evidence energy prices are already moving in the right direction.

The remarks come as the Trump administration continues negotiations with Iran over reopening the Strait of Hormuz, with the president expressing optimism that a deal could be reached soon and saying lower energy prices would be one of its biggest economic benefits.

President Donald Trump said Wednesday during an event in Las Vegas that Iran sought negotiations after the U.S. prepared what he described as a massive military strike, arguing that sustained military pressure has brought Tehran back to the bargaining table.

Speaking to supporters, Trump said the U.S. was “set for the biggest attack since World War II” before Iranian officials reached out to request talks. “They called me and they said, ‘Please don’t do it, let’s talk,'” Trump said.

Trump said he would prefer a diplomatic resolution over further military action but reiterated that the administration’s position has not changed. “I’d rather make a deal because I don’t want to kill people,” he said. “But Iran cannot have a nuclear weapon.”

The comments come as the Trump administration continues negotiations with Iran over reopening the Strait of Hormuz. Trump said Tuesday that “a lot of progress” had been made and suggested a deal could be reached as soon as Wednesday or Thursday.

The administration has repeatedly said any agreement with Tehran must ensure Iran never obtains a nuclear weapon, a position Trump again underscored Wednesday as diplomatic efforts continue.

Israeli Prime Minister Benjamin Netanyahu said Wednesday that he will “do whatever is necessary to ensure” his country’s “security and future,” regardless of whether the United States is able to reach a deal with Iran.

Netanyahu made the statement at the ceremony marking the reinterment of the remains of Shimon and Rivka Herzl, the grandfather and grandmother of Theodor Herzl. Herzl is considered the originator of the modern-day Zionist political movement.

“I want to make this clear: President Trump is our greatest friend, the greatest friend we have ever had in the White House. The United States is our greatest ally, and everyone understands that as well. We deeply appreciate the joint efforts by Israel and the United States against Iran’s nuclear ambitions,” Netanyahu said.

He continued: “I also want to make this clear: Israel’s existence is not subject to negotiation. With an agreement or without an agreement, I am determined — we are all determined — to do whatever is necessary to ensure our security and our future.”

Foundation for Defense of Democracies Senior Advisor Rich Goldberg said Wednesday that President Donald Trump should avoid giving Iran upfront concessions as negotiations over reopening the Strait of Hormuz continue.

Speaking on FOX Business’ “Varney & Co.,” Goldberg said any agreement should ensure Iran fulfills its commitments before receiving relief, warning against repeating what he described as mistakes in previous negotiations.

“I imagine the president doesn’t want to go back to the old MOU that we saw a few weeks ago, in which the Iranians get upfront relief, and once they get that relief, they go back on their word,” Goldberg said.

Goldberg said Trump should “look at the ledger” and weigh the leverage the U.S. already has, arguing that military escorts through the Strait of Hormuz and the ongoing blockade are putting significant economic pressure on Tehran.

“That’s a hand he should continue to play to make sure he doesn’t end up back in a broken MOU and coming back to military operations just a couple weeks later,” Goldberg said.

Sen. Tom Cotton, R-Ark., said Wednesday that Iran is “weaker than ever” following President Donald Trump’s military actions and declared the U.S. military is prepared to take further action if necessary.

“Thanks to President Trump’s decisive actions, Iran is weaker than ever,” Cotton wrote on X. “Our military stands ready to finish the job.”

Cotton also shared remarks from an interview this week in which he argued the U.S. should have maintained maximum military and economic pressure on Tehran earlier this year rather than easing off after strikes against Iranian targets.

“I wish we hadn’t taken our foot off the gas in early April,” Cotton said. He argued the U.S. should have continued targeting Iran’s remaining military infrastructure, maintained the naval blockade and forced the Strait of Hormuz open sooner, saying that strategy could have brought about an earlier resolution and lower gas prices.

Cotton also expressed skepticism that Iran would honor any future agreement with the Trump administration, saying, “You cannot expect revolutionary terrorists to ever make a deal and stick to a deal, as we saw just last month.”

Former Secretary of State Mike Pompeo cautioned against assuming Iran will honor any agreement with the Trump administration, even as markets rallied Wednesday on optimism that a deal could reopen the Strait of Hormuz.

Speaking on Fox News, Pompeo said investors should wait to see the details of any agreement and judge Iran by its actions rather than its promises. “Every single deal the Iranians have ever signed up… they’ve walked away from,” Pompeo said, pointing to Tehran’s past nuclear agreements and accusing the regime of continuing to sponsor terrorism.

Pompeo argued Iran is unlikely to voluntarily give up leverage over the Strait of Hormuz, saying the regime wants to maintain its ability to threaten global shipping while continuing its pursuit of a nuclear weapon. “They don’t want to open the strait without charging a toll,” he said.

The comments came as the Dow Jones Industrial Average climbed to another record high and oil prices fell below $75 per barrel amid growing optimism that the Trump administration could soon reach an agreement with Iran. President Donald Trump has said negotiations have made “a lot of progress” and suggested a deal to reopen the strategic waterway could come as soon as Wednesday or Thursday.

Pompeo said the best way to lower energy prices is to keep pressure on Tehran until the regime makes lasting concessions, warning that any agreement should ultimately be judged by whether Iran abandons its nuclear ambitions and stops threatening regional security.

Secretary of State Marco Rubio said Wednesday that he discussed the need for Europe to take a greater role in its own security during a meeting with UK Foreign Secretary Ed Miliband, while also reaffirming the United States’ commitment to keeping the Strait of Hormuz open and preventing Iran from obtaining a nuclear weapon.

“In my meeting with UK Foreign Secretary @Ed_Miliband, we discussed the need for Europe to take a greater role in its own security,” Rubio wrote on X. “We also reaffirmed our shared commitment to open transit in the Strait of Hormuz and ensuring Iran never obtains a nuclear weapon.”

Rubio’s remarks come as the Trump administration continues negotiations with Iran aimed at reopening the Strait of Hormuz, a vital shipping lane that has seen maritime traffic sharply curtailed during the conflict.

President Donald Trump said Tuesday that discussions with Iran had made “a lot of progress” and suggested a deal to reopen the strategic waterway could come as soon as Wednesday or Thursday. Trump has also argued that restoring commercial shipping through the strait would help drive down global oil prices and lower gasoline prices for Americans.

Rubio’s comments underscore that keeping the Strait of Hormuz open and preventing Iran from developing a nuclear weapon remain central objectives for the Trump administration and its allies as diplomatic efforts continue.

The U.S. military released a photo of a U.S. Air Force F-16 fighter jet getting refueled in mid-air “during a patrol over regional waters in the Middle East,” according to a social media post from U.S. Central Command (CENTCOM).

CENTCOM, which is leading Operation Epic Fury, also gave an update on the blockade against Iran.

“As of Aug. 5, CENTCOM forces have redirected 48 commercial vessels, disabled 2, and boarded 2,” the post said.

U.S.-brokered peace talks in Rome between Israel and Lebanon, focused on implementing a June framework for an IDF withdrawal from southern Lebanon, ended early Tuesday “due to events on the ground,” a senior Trump administration official told Fox News.

Despite the early end to the meeting at 3:30 p.m. Rome time, the official said the talks “focused on a range of political and military issues and were extremely productive.”

“The technical teams made progress on determining key details on implementation of the Trilateral Framework,” the official said.

Discussions will resume Thursday morning, the official added.

Israel has not withdrawn from southern Lebanon yet, citing that Hezbollah is still active and armed. A key part of the agreement is that the Iran-backed terror group must disarm before the IDF withdraws and gives territorial control back to the Lebanese military.

Fox News’ Gillian Turner contributed to this report.

For the second time on Wednesday, the United Kingdom Maritime Trade Operations (UKMTO) organization reported that a ship in the Middle East was targeted.

This time, it was an unidentified tanker 95 miles southeast of Aden, Yemen in the Gulf of Aden. The master of the tanker reported hearing “a loud explosion in close proximity to the vessel,” UKMTO said.

The entire crew was safe and there was no damage reported to the ship, UKMTO said. An investigation into the incident is underway.

The U.S. has lifted sanctions on Fly Baghdad, an Iraqi airline previously deemed tied to the Iran’s Islamic Revolutionary Guard Corps (IRGC).

On Wednesday, Fly Baghdad and two of its Boeing 737 aircraft were removed from the “Specially Designated Nationals (SDN) List.”

The SDN list is a public register maintained by the U.S. Treasury’s Office of Foreign Asset Control (OFAC) of individuals, groups, companies and vessels linked to terrorism, drug trafficking and other sanctioned activity.

Entities on the SDN list generally have any assets under U.S. jurisdiction frozen, and U.S. citizens are broadly prohibited from doing business with them.

Fly Baghdad, its planes and company owner Basheer Abdulkadhim Alwan al-Shabbani were added to the SDN list in January 2024, with the U.S. government alleging that airline had been supporting the IRGC for “several years.”

“Fly Baghdad flights have delivered shipments of weapons to Damascus International Airport in Syria for transfer to members of the IRGC-QF and Iran-aligned militia groups on the ground in Syria, including the Syrian Arab Republican Guard, Lebanese Hizballah, KH, and the KH-affiliated Abu al-Fadl al-Abbas Brigade,” the Treasury Department said at the time.

A Treasury Department official told the AFP on the condition of anonymity that Fly Baghdad was taken off the sanctions list because it “demonstrated major changes to their operations.”

The United Kingdom Maritime Trade Operations (UKMTO) organization reported that a vessel in the Bab al-Mandab Strait was sunk on Tuesday during a drone attack.

“The vessel was attacked by an Uncrewed Surface Vessel which caused a fire onboard. The crew have been rescued by local authorities and are safe and well,” UKMTO said on Wednesday.

The ship sank off the coast of Al Mukha, Yemen. The UKMTO did not identify who carried out the attack or disclose the sunken vessel’s origin.

The Houthis, the Iran-backed terrorist group in Yemen, have been striking Saudi oil tankers up and down the Red Sea for the past two weeks.

Photos released Wednesday by U.S. Central Command show an MH-60S Sea Hawk, a U.S. Navy support helicopter, taking off from the USS Abraham Lincoln in the Middle East.

The USS Abraham Lincoln, an aircraft carrier, has been supporting operations in the Middle East since Operation Epic Fury began on Feb. 28, according to CENTCOM.

The ship is capable of carrying more than 60 fixed-wing and rotary-wing aircraft, according to the U.S. military.

Israel warned residents of the Al-Mansouri village in Lebanon to evacuate ahead of strikes on Hezbollah targets in the area.

The Israel Defense Forces (IDF) said it began “conducting precise strikes in southern Lebanon” on Wednesday.

“In light of the terrorist Hezbollah party violating the ceasefire agreement, the Defense Army is forced to act against it forcefully. The Defense Army does not intend to harm you,” Lieutenant Colonel Ella Waweya, an IDF spokeswoman, told the residents of Al-Mansouri in a statement.

She continued: “For the sake of your safety, you must evacuate your homes immediately and move away from the village northward for a distance of no less than 1,000 meters to open areas.”

Waweya said that anyone who remains near Hezbollah-linked locations in the village will expose themselves to life-threatening danger.

The warning comes as Israeli and Lebanese officials hold U.S.-brokered talks in Rome aimed at implementing a June framework agreement calling for Hezbollah’s disarmament. Israel has maintained it will not withdraw from southern Lebanon until the U.S.-designated terror group disarms.

Iran has executed at least 56 people on national security-related charges since March, including 27 in cases linked to anti-regime protests earlier this year, according to United Nations Human Rights Chief Volker Türk.

Türk said more than 100 others are at risk of being put to death on similar charges.

“I am alarmed by the rise in executions and death sentences issued in Iran since March, and that capital punishment continues to be used to instill fear among the population and suppress dissent,” Türk said in a statement. “I urge the authorities to urgently halt all executions and move towards the abolition of the death penalty.”

Türk also raised concerns that confessions were reportedly obtained through torture, some executions may have been carried out in public, and defendants were put to death just weeks after their arrests.

“Twelve defendants were reportedly sentenced to death following a single three-hour closed-door hearing,” Türk said.

The demonstrations against the Iranian regime began on Dec. 28, 2025, after citizens became frustrated with country’s worsening economy and the declining value of its currency, according to the UN.

By January, the discontent had spread throughout the entire nation, with many chanting slogans directly denouncing Supreme Leader Ayatollah Ali Khamenei’s leadership, The Associated Press reported.

Iran cracked down with brute force, leading to worldwide condemnation and threats of attack from the United States.

Iran’s government has estimated 3,000 people died amid the protests. Human rights organizations believe the death toll was likely in the tens of thousands, the UN has said.

The Associated Press contributed to this report.

Yemen’s Houthis, an Iran-backed terrorist group, said Wednesday they struck another Saudi oil tanker that had been moving through the northern Red Sea.

The Saudi-flagged “Wafa” was targeted with “a number of ballistic missiles,” making it the eighth vessel the Houthis say they have struck since announcing a blockade of Saudi Arabia on July 22, according to spokesman Yahya Saree.

The Houthis said the ship was hit while it was off the coast of Yanbu, a Saudi Arabian city roughly 650 miles from the country’s border with Yemen.

Saree said the Houthis will escalate attacks in the northern Red Sea, where Saudi Arabia is diverting oil tankers to avoid strikes in the southern Red Sea and the Bab-el-Mandeb Strait.

Saudi Arabia has not publicly acknowledged the latest attack, but it has previously retaliated with airstrikes on Houthi targets in Yemen.

The Israel Defense Forces (IDF) on Wednesday said its troops found and dismantled an underground route “containing dozens of rockets belonging to terrorist organizations operating in Gaza.”

Body camera footage from the Oketz Unit showed an Israeli military canine running through an underground terror tunnel in the southern Gaza Strip. Video shows the dog coming upon a stash of rockets.

The IDF said troops from the Paratroopers Brigade, under the command of the Gaza Division, “located an underground route containing dozens of rockets belonging to terrorist organizations operating in the Gaza Strip.”

“The route was dismantled in cooperation with the engineering forces of the Gaza Division and the Yahalom Unit,” the IDF added. “The troops are operating in the southern Gaza Strip, to clear the Yellow Line area of terrorist infrastructure above and below ground.”

Another video released by the IDF shows large explosions above ground during the dismantling of the terror tunnel. The Israeli military said its troops in the Southern Command “are deployed in the area in accordance with the ceasefire framework and will continue to operate to remove any immediate threat.”

Israeli Prime Minister Benjamin Netanyahu said Tuesday that his forces will not withdraw from Gaza until Hamas has been completely disarmed.

Iranian President Masoud Pezeshkian, reaffirmed his support for Hamas on Monday, days after President Donald Trump announced a deal that would strip the terrorist group of its weapons and control of Gaza.

Fox News’ Yonat Friling contributed to this report.

In an interview with Fox News on Tuesday night, President Donald Trump said he believes gas prices will sink to around $2.50 per gallon in the United States if the Strait of Hormuz can be fully reopened.

“If we have no friction, then oil will go down to—I think it’ll go down to two-and-a-half dollars a gallon,” Trump said.

According to AAA, the average price for regular gasoline across the U.S. currently sits at $4.08 per gallon.

Trump also told Fox News the U.S. held an “all-day negotiation” with Iran on Tuesday that went very well.

Later that same day, the president told reporters before he left Los Angeles on Air Force One that a deal to reopen the Strait of Hormuz could be reached on Wednesday or Thursday.

“They want to talk,” Trump said of his counterparts in Iran. “We’ve been talking. They want to make a deal. They do not want to be hit.”

Iran is ramping up political pressure on the United States in a bid to gain leverage, a leading Iran analyst warned Tuesday.

“This is a regime that knows it cannot win an outright battle of conventional capability,” Foundation for Defense of Democracies Iran Program Senior Director Behnam Ben Taleblu said on Fox News’ “America Reports.”

“They’re even fighting a battle of wills right now against the Trump administration, both on the battlefield and diplomatically,” he added.

“Clearly they have some steel, but this is a regime that has shown us, in word and deed, over the past 47 years, that it will play to the edge and that it will gamble. Unfortunately, we’re in a very tough situation right now,” Taleblu said.

Taleblu also said no U.S. president has inflicted more damage on the Iranian regime than President Donald Trump, but argued that the administration has recently pulled back from several earlier threats.

“I think eight or nine — and even a newspaper run by Tehran’s municipality basically said all of Trump’s threats are watered down and that the U.S. is a paper tiger,” he said.”So this is a tough position for U.S. deterrence to be in right now, despite the good track record that the president has had.”

Taleblu’s remarks came as Qatar said Tuesday that mediators were making progress toward ending the war, although Tehran denied Trump’s assertion that talks were already underway.