Russia views a planned U.S. missile base in Poland and a radar in the Czech Republic as a direct threat to its security and has rejected Washington's assurances that they were designed as protection against Iran and other Middle East states.
"I am cautiously optimistic about a final agreement. It seems to me that this is possible," Putin told a news conference after his meeting with U.S. President George Bush in the Black Sea resort city of Sochi, the last between the two leaders, who are due to step down next month and next January, respectively.
Putin admitted that the sides had failed to resolve all disagreements relating to the missile shield.
"But today we have been convinced once again that our American partners do not only understand our concerns but are also seeking to lift them," Putin said.