{"id":135923,"title":"FTSE 100 set to fall as Middle East tensions weigh on markets","publisher":"Share Talk","author":"sharetalk","published":"2026-05-20T06:15:42+00:00","modified":"2026-05-20T06:43:25+00:00","canonical_url":"https://www.share-talk.com/ftse-100-set-to-fall-as-middle-east-tensions-weigh-on-markets/","markdown_url":"https://www.share-talk.com/ftse-100-set-to-fall-as-middle-east-tensions-weigh-on-markets.md","json_url":"https://www.share-talk.com/ftse-100-set-to-fall-as-middle-east-tensions-weigh-on-markets.json","category":"Blogs","categories":["Blogs","Technology","Technology, Media & Telecoms"],"tags":["Asia","Bangkok","Denmark","Endeavour Mining","Fed","Federal Reserve","Finland","FRANCE","FTSE 100","GERMANY","Glencore","Greenland plan","Hong kong","Japan","London","Manila","mining stocks","Mumbai","Nasdaq Composite","NATO alliance","Netherlands","Nikkei 225","Norway","S&P 500","shanghai","Singapore","Sweden","Sydney","Taiwan","UK","United States","Wall Street","Wellington"],"featured_image":"https://i0.wp.com/www.share-talk.com/wp-content/uploads/2026/04/Bull-v-bear-21st-dec-scaled.webp?fit=1200%2C594&quality=80&ssl=1","format":"news","language":"en-GB","content":"London markets are set for a weaker open on Wednesday as investors continue to grapple with geopolitical tensions in the Middle East, while attention in the UK turns to the latest inflation data following softer labour market figures.\n\nFutures indicate the FTSE 100 will open around 60 points lower, or 0.6%, at 10,271.75 after the blue-chip index edged 0.1% higher on Tuesday to close at 10,330.55.\n\nInvestor sentiment remained fragile after US President Donald Trump warned that Washington could launch fresh military strikes against Iran despite ongoing negotiations aimed at ending the conflict.\n\nTrump said he had been “an hour away” from authorising renewed attacks before postponing the operation in the hope of securing a diplomatic breakthrough, though he acknowledged further military action remained possible.\n\nIran responded with its own warning, with army spokesman Mohammad Akraminia threatening to open “new fronts” against the US if attacks resume.\n\nMarkets remain highly sensitive to developments around the Strait of Hormuz, where shipping traffic continues to operate at severely reduced levels, keeping pressure on global oil supplies and inflation expectations.\n\nBrent crude held near USD110.68 per barrel early Wednesday, while gold prices eased slightly to around USD4,476 per ounce.\n\nAnalysts said persistently elevated energy prices are continuing to fuel concerns over inflation and the outlook for interest rates globally, even as economic growth indicators weaken.\n\nOn Tuesday, Wall Street closed mixed as investors trimmed exposure to semiconductor stocks ahead of results from NVIDIA.\n\nThe benchmark S&P 500 slipped 0.1% to 5,963.18, while the tech-heavy Nasdaq Composite fell 0.5% amid weakness across chipmakers and broader technology shares.\n\nIn contrast, the Dow Jones Industrial Average outperformed, rising 0.3% as investors rotated into more defensive sectors.\n\nIn Asia, sentiment was also weaker. Japan’s Nikkei 225 dropped 1.7%, while Hong Kong’s Hang Seng lost 0.7% amid continued selling in major technology names including Tencent, Baidu and Xiaomi."}