For months, a tiny strip of water threatened to crash the world economy. One wrong move could have sent gas prices through the roof for everyone.

WHAT HAPPENED

US and Iran officials have a deal to keep the Strait of Hormuz open. This means ships can move without being stopped or taxed.

Iran tried to charge fees to every ship that passed through. They created a group to collect this money.

The deal is not final yet. It needs a signature from President Trump to start.

WHAT THE EVIDENCE SHOWS

The deal stops Iran from charging fees to ships.

• It follows US pressure on the group running the strait.
• Energy markets should calm down right away.
• Shipping costs for oil tankers are expected to drop.
• This path carries 20 percent of the world's oil.

THE BIGGER QUESTION

Why did it take a crisis for both sides to talk? We should ask if this is a real peace or just a quick fix to keep oil moving.

Is this a sign that US pressure worked, or did the US give up something secret to get this done?

THE OTHER SIDE

The Iranian group said they had the right to control their own waters. They said they needed the money to help their people after years of tough times.

Based on the new deal, it looks like the US pressure was too much for them to handle.

WHAT HAPPENS NOW

If the President signs, you might see lower gas prices soon. It takes the fear out of the market.

Shipping companies will feel safer sending their boats through the region. This helps keep the cost of goods down for people all over the world.

WHAT WE STILL DON'T KNOW

Will President Trump actually sign the final papers?

• What did the US give to Iran in exchange for this deal?
• How will other nearby countries feel about this new agreement?