Iranian and Omani officials are negotiating the details of an agreement on the Strait of Hormuz, a senior Iranian source said on Wednesday, after Iran's Revolutionary Guards claimed the two countries had agreed on sharing the waterway and its revenues. Market sentiment has therefore shifted from concerns about long-term disruptions and escalating conflict to expectations of partial reopening and negotiated shipping arrangements. US crude inventories rose by 95,000 barrels in the week to August 21, less than analysts' expectations of a 597,000-barrel increase, according to data from the US Energy Information Administration, which partially limited the decline in oil prices. Before the US-Israeli airstrikes triggered war in late February, the Strait of Hormuz was a conduit for about one-fifth of the world's oil and gas supplies.