Oil plunges, markets surge on report U.S. and Iran near deal to end war as gas prices jump past $4.50

The price of oil plunged and stocks surged early Wednesday after a new report that the U.S. believed it was nearing a deal to end the war with Iran and eventually reopen the Strait of Hormuz.

The price of oil plunged and stocks surged early Wednesday after a new report that the U.S. believed it was nearing a deal to end the war with Iran and eventually reopen the Strait of Hormuz.

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Officials in Washington and Tehran were working on "a one-page memorandum of understanding to end the war and set a framework for more detailed nuclear negotiations," according to the report from Axios, which cited two U.S. officials and two additional sources.

A spokesperson for Iran's foreign ministry told Iranian news outlet ISNA that a U.S. proposal was currently under review, and said that Iran planned to convey its assessment of it to mediator Pakistan.