London stocks are set for a softer open on Thursday, as persistent Middle East tensions weigh on sentiment ahead of key UK economic data releases.
Futures point to the FTSE 100 opening 8.9 points lower at 10,550.68, extending losses after dropping 49.5 points to finish at 10,559.58 in the previous session.
Geopolitical risk remains front and centre. The US has intensified sanctions on Iran’s oil sector, targeting transport infrastructure and imposing restrictions on more than two dozen individuals, companies and vessels tied to shipping figure Mohammad Hossein Shamkhani.
Oil prices edged lower in early trading, with Brent crude at USD94.93 per barrel, compared with USD95.40 at Wednesday’s close.
In currency markets, sterling slipped slightly to USD1.3573 from USD1.3577 at the previous London close, and weakened marginally against the euro to EUR1.1495. The euro was broadly steady at USD1.1807, while the dollar eased against the yen to JPY158.72.
Overnight, US markets delivered a mixed performance, with the Dow Jones Industrial Average down 0.2%, while the S&P 500 gained 0.8% and the Nasdaq Composite rose 1.6%.
Asian equities were broadly higher on Thursday. Japan’s Nikkei 225 climbed 2.2%, while China’s Shanghai Composite added 0.3% and Hong Kong’s Hang Seng Index advanced 1.2%.
China reported first-quarter GDP growth of 5.0% year-on-year, beating expectations of 4.8% and accelerating from 4.5% in the previous quarter.
In Australia, the S&P/ASX 200 slipped 0.4% as mixed labour and spending data painted an uneven picture.
Gold prices continued to climb, trading at USD4,833.95 per ounce, up from USD4,802.65, reflecting ongoing demand for safe-haven assets amid geopolitical uncertainty.
