New Delhi, Aug. 5 -- Oil traders are buying into the Trump administration's latest claims that a deal is near with Iran, pushing both the international and U.S. benchmarks down sharply this week.

In Tuesday's latest developments, Treasury Secretary Scott Bessent said there was "a chance" that a deal would be struck "today or tomorrow." His comments come after President Donald Trump called off strikes on Iran over the weekend, claiming "perimeters of a deal" to reopen the Strait of Hormuz.

The price of most-active futures for Brent crude oil and West Texas Intermediate were down about 5% each, respectively, by midday Tuesday. Brent was trading at $79.54, with WTI at $76.12.

While we've heard such optimistic talk many times before, only ...