Stocks in London are set to open slightly higher on Tuesday, as easing oil prices help stabilise sentiment despite ongoing geopolitical tensions.
Futures indicate the FTSE 100 will open 7.9 points higher, up 0.1% at 10,590.86. The index closed 0.2% lower at 10,582.96 on Monday.
Tensions remain elevated after the U.S. blockade of Iranian ports came into force at 3:00pm BST on Monday. JD Vance accused Iran of “economic terrorism” over restrictions in the Strait of Hormuz, while Donald Trump said Tehran was seeking a deal and reiterated warnings that Iranian “fast attack ships” approaching the blockade would be “immediately eliminated.”
In response, Iran’s leadership signalled defiance, stating it would not yield under pressure, with no formal reply yet to Trump’s latest comments.
In commodities, Brent crude has eased back below the $100 mark, trading at $97.90 per barrel early Tuesday, down from $101.95 late Monday. However, risks remain. Fatih Birol warned that April could prove more challenging for energy markets, noting that while March shipments were largely unaffected, loading activity has since stalled, raising the risk of supply disruptions.
Currency markets showed a firmer tone for sterling, which rose to $1.3521, though it slipped slightly against the euro. The euro itself strengthened against the dollar, while the yen gained modestly.
Overseas, Wall Street ended Monday on a strong note, while Asian markets followed higher on Tuesday, led by gains in Tokyo, Hong Kong, and Sydney, even as Australian confidence indicators weakened.
Gold prices edged higher to $4,765.99 per ounce, reflecting ongoing demand for safe-haven assets amid geopolitical uncertainty.
