Dow edges to record as markets parse prospects for Hormuz deal

This live blog follows the latest developments across the Middle East crisis, including regional diplomacy, maritime security, ceasefire negotiations, and economic fallout.

Catch up on Wednesday's top developments here:

• Qatar, Egypt, Turkey condemn Israel over Gaza 'violations'
• Iran thanks Pakistan for support during conflict with Israel and US
• Global markets climb while oil prices bounce back from sharp falls
• Qatar blames Israel for delayed implementation of Gaza peace plan
• US Treasury Secretary says chance of Hormuz deal with Iran by Wednesday

Dow edges to record as markets parse prospects for Hormuz deal

Published: Aug 6, 2026 | 00:28 GMT | by AFP

Stock markets climbed but then stalled Wednesday as investors digested a wave of company earnings that broadly surpassed expectations, while assessing the chances of a US-Iran deal to reopen the Strait of Hormuz.

After pushing strongly ahead in early trading on Wall Street, momentum weakened for major US indices, with the tech-rich Nasdaq and broad-based S&P 500 finishing lower. The Dow still mustered a 0.5% gain, lifting it to a third straight record close.

"It's just a case of the market taking a breather right now," said Briefing.com analyst Patrick O'Hare, adding that investors are still "operating with a bullish minded bias for the most part."

Oil prices also finished mixed as markets tried to parse the latest developments regarding a potential reopening of the Strait of Hormuz.

Tehran's foreign ministry said Iran and Oman have agreed a route for ships transiting the Strait of Hormuz and are putting the final touches on arrangements for jointly managing the waterway.

But official sources briefing Iranian media stressed that any reopening of the strait would depend on the United States fulfilling what Tehran sees as its commitment to end its own naval blockade of Iran's ports.

"The factors making the Strait of Hormuz insecure still exist on the part of the United States, particularly the naval blockade and other aggressive and threatening actions against Iran and its interests," said Iran Foreign Ministry spokesman Esmaeil Baqaei, according to state news agency IRNA.

Oil prices had fallen sharply on both Monday and Tuesday as Trump administration officials said they were close to an accord with Iran that would reopen the Hormuz Strait.

Wednesday developments at a glance

Published: Aug 6, 2026 | 00:28 GMT | by Web Desk

Diplomatic efforts to reopen the Strait of Hormuz remained at the center of regional developments on Wednesday, as Iran said it had agreed with Oman on a route for ships transiting the strategic waterway and was finalizing arrangements for jointly managing the passage.

Iran said the geographical coordinates of the proposed route had been agreed, while the final wording of a joint statement was being prepared. US President Donald Trump also described negotiations with Iran as positive and said the strait would reopen soon.

Pakistan, Saudi Arabia, Türkiye and Egypt meanwhile called for continued diplomacy to prevent further escalation in the Middle East, while Israel said its military would continue operations in Gaza.

The key developments were:

Iran, Oman agree new Hormuz route: Tehran said it had agreed with Oman on a route for ships transiting the Strait of Hormuz and was finalizing arrangements for jointly managing the passage.

Trump says US-Iran talks positive: US President Donald Trump said negotiations with Iran were continuing after an “all-day discussion,” as Washington sought progress on reopening the strategic waterway.

R-4 urges regional diplomacy: Foreign ministers of Pakistan, Saudi Arabia, Türkiye and Egypt reviewed the regional situation and called for continued consultation and diplomacy to prevent further escalation.

Israel vows continued Gaza operations: Israel’s military chief said forces would continue to operate “proactively” in Gaza and pursue those responsible for the October 7 attack.

Israel rejects US-backed Gaza plan: Prime Minister Benjamin Netanyahu said Israel had not agreed to a US-backed proposal for Gaza, saying his government had submitted its own comments on the draft.

Israeli strike kills one in southern Lebanon: Lebanese state media reported that an Israeli strike on Tibnin killed one person and wounded 11 others.

Vessel sinks after attack off Yemen: UK Maritime Trade Operations said a vessel sank after being attacked by an uncrewed surface vessel southwest of Al Mukha, Yemen. The crew were rescued and reported safe.

Houthis claim attack on Saudi oil tanker: Yemen’s Houthis said they targeted the Saudi oil tanker *Wafa* off Yanbu with ballistic missiles, calling it the eighth Saudi tanker targeted since their maritime blockade began.

Gaza death toll surpasses 73,000: Palestinian medical sources cited by WAFA said 73,381 Palestinians had been killed and 174,231 wounded since the start of Israel’s military campaign.

Palestinians report tear gas exposure near Jerusalem: Palestinian officials said several people suffered breathing difficulties after Israeli forces used tear gas and stun grenades during a raid in Abu Dis.

West Bank communities report new restrictions: Palestinian communities reported movement restrictions around Solomon’s Pools near Bethlehem and disruption to water supplies near Nablus.

For earlier developments, read our Aug 5 live blog here