The FTSE 100 was set to surge higher on Thursday after Donald Trump dropped his tariff threats against the UK and seven other European countries.
London’s blue-chip FTSE 100 was called 62 points higher in futures trading, which would lift the benchmark back close to where it finished last week. The index added just over 11 points on Wednesday to close at 10,138, following a wide-ranging speech by Donald Trump at the World Economic Forum in Davos.
Donald Trump wrote overnight on his Truth Social platform that the US and NATO had agreed a framework for a deal and that he would not impose tariffs.
On Wednesday, he had already helped to steady markets after saying he would not use military force to secure Greenland.
US equities rebounded overnight from the previous session’s losses, with the Dow Jones Industrial Average, S&P 500 and Nasdaq Composite all climbing 1.2pc.
Asian markets followed Wall Street higher, albeit more modestly overall, with Japan’s Nikkei 225 leading the gains, up 1.7pc.
Oil prices edged higher after Mr Trump eased tensions with Europe over Greenland, while supply disruptions at two major fields in Kazakhstan and a stronger demand outlook for 2026 also provided support.
Copper prices were range-bound as inventories in US Comex-approved warehouses rose above 500,000 metric tonnes for the first time, with lingering tariff concerns limiting upside.
Gold bullion was last slightly higher on the day, up 0.2pc at around $4,835 an ounce, while silver gained 0.9pc to trade above $94 an ounce.
