Trump also again dismissed concerns about U.S. munitions stocks.
President Donald Trump announced "major combat operations" against Iran on Feb. 28, with massive joint U.S.-Israeli strikes targeting military, government and infrastructure sites.
Delegations from the U.S. and Iran entered negotiations in June aimed at a war-ending deal based on a memorandum of understanding signed by both countries.
The U.S. and Iran have nonetheless continued to exchange strikes, with the strategic Strait of Hormuz the primary flashpoint.
The United Kingdom Maritime Trade Organization (UKMTO) Centre said in an alert on Tuesday that it received a report of a vessel being hit by an "unknown projectile" in the southern Red Sea.
The attack resulted in casualties, the UKMTO advisory said. Authorities are investigating the incident, which was reported off the coast of Yemen, the center added.
-ABC News' Othon Leyva
Oil prices edged higher amid indications that the Strait of Hormuz will remain closed, as negotiations between the U.S. and Iran to end their ongoing war appear stalled.
U.S. oil was trading at about $84, up 2.5%, as of Tuesday morning, while global oil was trading at nearly $90, up 2.3%.
The Strait of Hormuz remains the focus of the U.S.-Iran standoff. There were eight crossings of the strategic waterway on Aug. 10, according to latest data from maritime intelligence firm Kpler.
Traffic through Bab el-Mandeb Strait -- which sits at the southern end of the Red Sea and where commercial shipping has been under fire from the Iran-aligned Houthi rebels in Yemen -- remained stable at 36 confirmed crossings on Monday, according to Kpler.
-ABC News’ Zunaira Zaki
In a pre-taped interview with right wing media outlet "Real America's Voice," President Donald Trump again defended his strategy in the ongoing war with Iran and suggested that Tehran's economic situation is unsustainable.
The president's comments focused on potential economic measures to pressure Iran amid the apparent negotiating stalemate over the Strait of Hormuz. "Just bop along and look how bad they're doing, because they've got 300% inflation, they have no value. Their currency has almost no value. They're not paying their soldiers. Their soldiers are leaving," Trump said.
"So just keep that going because that's not sustainable," Trump said of potential next steps, adding that the U.S. could "hit them really really hard."
"So economically, they are a mess. They can't borrow money. We control their money, what they had, which is a lot. They had a lot, and we have total control of it. I'm their banker," Trump said.
Trump also again denied that the U.S. is struggling with missile munitions shortages. "We're fine" and "we're building them like crazy," he said, though also suggested former President Joe Biden's military aid packages to Ukraine as a reason that munition stocks may be considered low.
The president dismissed concerns about inflation related to the war, suggesting that oil prices and inflation would come down "as soon as it ends."
Trump also claimed that without the war that began in February, Tehran may now possess a nuclear weapon. Iranian officials have long denied any intention to build nuclear arms.
-ABC News' Alex Ederson
When pressed by ABC News' Mary Bruce about what's next for Iran after he rejected their demands, President Donald Trump said, “you'll find out."
Asked if escalation is still on the table, Trump repeated that response, saying, "Well, we have that -- certainly that ability if we want to do that. Yeah, you'll find out."
Trump also repeated his demand for Iran to pay the U.S. back.
Asked when the Strait of Hormuz would open, Trump maintained that it is “open now” and that the U.S. controls it “100%,” though he acknowledged that Iran could “make trouble.”
-ABC News’ Emily Chang, Michelle Stoddart and Fritz Farrow
