- FTSE 100 up 61 points to 10,651
- Dow up over 1,000 points
- Oil retreats on ceasefire hopes
3.55pm: Wall Street on fire (not literally)
The barely constrained euphoria on Wall Street that has seen the Dow rocket over 1,000 points hasn't exactly translated to London, with the Footsie up a meagre 61 points, albeit from a negative start.
The opening of the Strait of Hormuz lit the blue touchpaper under US stocks, which are now in record territory amid hopes this signals the start of a lasting peace between the US, Iran and Israel.
More immediately, the imminent restart of oil shipments sent Brent crude below $90 a barrel, a drop of 13% on the day, meaning oil is trading at levels last seen at the start of the conflict in early March.
Before the conflict, Brent crude was trading at under $70, and hit a high of $119 as hostilities escalated.
2.22pm: Strait opens, Footsie flies
The FTSE 100 reversed a loss to trade 61 points higher after Iran's foreign minister declared the Strait of Hormuz completely open to commercial shipping for the remaining period of the Lebanon ceasefire, easing fears of a prolonged disruption to global oil flows.
The announcement by foreign minister Abbas Araghchi marked a significant shift in tone, coming alongside a 10-day Israel-Lebanon ceasefire and security preparations in Islamabad for what Pakistani officials believe could be a breakthrough round of US-Iran nuclear talks.
Oil prices, which had surged on fears that some 20% of the world's seaborne crude supply could remain bottled up in the Gulf indefinitely, came off their highs on the news.
Markets had been closely tracking the crisis since Iran blocked the strait in late February following US and Israeli military strikes.
1.35pm: On the fence
No real momentum. The FTSE 100 is off its session low and trading down just eight points at 10,581.45 on subdued volumes. The most actively traded stock on Friday is Lloyds, a clear winner with 47 million shares changing hands, followed by Vodafone (40 million) and BP (26 million).
12.30pm: UK resists gravitational pull of the US
The FTSE 100, down 35 points on Friday, has so far resisted the pull of Wall Street, where stock futures are pointed higher.
With both the S&P 500 and Nasdaq trading in record territory, perhaps the reticence this side of the Atlantic is laudable, given the geopolitical maelstrom that provides the current backdrop.
Anyhoo. US stock futures edged higher in early trade, with S&P 500 contracts up 0.2% and Dow futures gaining 0.3%.
11.00pm: Hormuz - prediction markets say 'no'
Prediction market bettors give only a 27% chance that the Strait of Hormuz returns to normal shipping by the end of April, down 42 percentage points from earlier levels, suggesting traders increasingly expect the waterway's closure to drag well into the summer.
The narrow channel between Iran and Oman through which roughly 20% of the world's oil trade normally passes has been largely blocked since late February, when the United States and Israel launched military strikes against Iran.
Data from Polymarket, the prediction market platform where traders bet real money on real-world outcomes, shows the probability of normalisation rising only gradually across successive monthly contracts: 67% by end of May and 74% by end of June, implying markets assign a meaningful chance the disruption extends beyond the summer.
The May contract, which carries the heaviest trading volume at nearly $957,000, has surged 30 percentage points in recent sessions, suggesting money is only now beginning to price in a late spring resolution with any conviction.
10.10am: Small caps in the news
ITM Power PLC (AIM:ITM) jumped over 35% after partnering with Rheinmetall AG on a defence e-fuels project. The Giga PtX initiative targets hundreds of decentralised plants across Europe, offering scalable electrolyser demand. The collaboration highlights growing defence focus on energy security and positions synthetic fuels as a key growth market. Read more
Premier African Minerals Ltd (AIM:PREM, OTC:PRMMF) shares rose 17% after progress at its Zulu lithium project. Installation of a new flotation plant is advancing, with commissioning support due on-site soon.
The company is also simplifying operations and preparing for mining, while export rules in Zimbabwe are expected to ease under quotas. Read more
Optima Health PLC (AIM:OPT, OTC:OHLTF, FRA:J3N) rose 4.4% after it said that full-year EBITDA came in around 10% ahead of expectations. A strong second half and the completion of the PAM acquisition in late March drove the beat. The company is now eyeing £200 million in revenue and £40 million in EBITDA over the medium term. Read more
Quantum Helium Ltd (AIM:QHE) has raised £5 million to advance its US helium projects. Funds will support development at Sagebrush and Coyote Wash, alongside ongoing testing at Sagebrush-1.
Upcoming work includes testing the Lower Leadville zone, aimed at confirming helium concentrations and moving resources toward reserves. Read more
MedPal AI plc (AIM:MPAL) has raised £3 million to turbocharge its private weight-loss clinic, which runs on the GLP-1 platform, the technology behind blockbuster drugs like Ozempic and Wegovy. The funds will go towards marketing, new hires and robotic dispensing capacity at its Runcorn hub. Read more
Greencoat UK Wind PLC (LSE:UKW, FRA:3GC) warned UK plans to scrap Carbon Price Support from 2028 could cut NAV by 3p to 5p per share. Lower power prices may follow, though impacts are partly expected. The company said CPS was already declining in importance as renewables grow and fossil fuels set prices less often. Read more
Metals One PLC (AIM:MET1, FRA:HT7, OTCQB:MTOPF) has moved closer to securing a South African gold asset via Lions Bay Resources. Creditors approved a rescue plan covering a 2.1 million ounce resource acquisition. Completion still depends on funding, regulatory approvals and legal outcomes, while Metals One holds 30% of LBR with an option to increase. Read more
9.15am: Utilities under pressure
SSE PLC (LSE:SSE) and Centrica PLC (LSE:CNA) have extended their losses to 5.2% and 4.9% respectively, with Saxo UK investor strategist Neil Wilson pinning the blame squarely on Chancellor Rachel Reeves.
Speaking in Washington yesterday, Reeves confirmed she and Energy Secretary Ed Miliband are working on plans to delink electricity and gas prices, a potentially significant shake-up of the marginal cost pricing model that has long governed UK energy markets. Under the current system, gas-fired power stations effectively set the price of electricity for the entire market, meaning consumers pay more across the board when gas prices rise, even for power generated from cheaper renewable sources.
Reeves called it "quite a big change" but insisted it was "absolutely the right thing to do," with further details expected within days or weeks.
Wilson noted the irony of the market reaction: "Whilst the mood seems broadly risk-on on hopes for peace early Friday, with European markets broadly higher and US futures higher, the FTSE 100 dipped as utilities were hit by comments from Chancellor Rachel Reeves about decoupling energy pricing from gas prices," he said.
9.05am: Workspace wobbles on profit warning
Workspace Group PLC (LSE:WKP) has had a rough Friday so far, with shares tumbling 15% to 318p after the London flexible office landlord warned of a sharp drop in profitability for the year ahead.
The company flagged a tough cocktail of headwinds - higher interest costs, lower rents, increased operating expenses and the drag from selling off higher-yielding assets. Total rent roll slipped 1.4% to £127.3 million in the fourth quarter, with rent per square foot down to £41.96, though occupancy nudged up to 79.4%.
New CEO Charlie Green, barely two months into the job, said the business needs meaningful investment to reposition itself for startups and small businesses - and that it won't happen overnight.
On the brighter side, Workspace has sold £125.7 million of assets toward its £200 million disposal target, though some sales came at steep discounts, including one property offloaded at 44% below its September valuation.
8.50am: Sitting on their hands
Investors appear to be sitting on their hands as the week draws to a close ahead of news of an extension to the Iran-US ceasefire.
The losses follow a healthy, record-breaking week for equities, with US markets hitting new records yesterday, fuelled by hopes the Middle East war could be close to an end after President Trump said negotiators were close to a deal.
The US president struck an optimistic tone on Thursday, telling reporters that "it's looking very good that we're going to make a deal with Iran, and it's going to be a good deal", adding that talks between Washington and Tehran could resume this weekend.
He also claimed Iran had "agreed to give us back the nuclear dust", using his name for the country's enriched uranium stockpile, and the deal would include "free oil" as well as the opening of the Strait of Hormuz.
The FTSE 100 is now 17 points down at 10,573.16. The caution hasn't fed through to other European markets though. On the continent, Frankfurt's DAX is up 0.2%, while the Paris CAC 40 is 0.3% higher.
8.15am: Stocks open lower
The FTSE 100 opened lower despite the futures market indicating a positive open, as caution returned to the market ahead of the weekend.
Shortly after the open, London's blue-chip index was down 19 points at 10,570.98.
Energy and mining companies were the biggest weights on the market, with SSE PLC (LSE:SSE) and Centrica PLC (LSE:CNA) shedding 3.7% and 2.7% respectively, while Antofagasta PLC (LSE:ANTO), Fresnillo PLC (LSE:FRES) and Endeavour Mining PLC (LSE:EDV, TSX:EDV, OTCQX:EDVMF, FRA:6E2) were down 1-1.5%.
Burberry Group PLC (LSE:BRBY) topped the leaderboard with a 1.6% gain, followed by Intertek Group PLC (LSE:ITRK) and Informa PLC (LSE:INF), bot up over 1%.
"Global risk assets are pausing after a strong multi-day rally that pushed several benchmarks to record highs," commented Tickmill Group's Patrick Munnelly. "As the weekend approaches, investors are becoming more cautious, shifting their focus back to the potential extension of the US-Iran ceasefire beyond next week. Overall sentiment remains constructive, but after a strong run, markets appear reluctant to take on additional risk without clearer signs that diplomacy is holding."
7.35am: Oil slides back on de-escalation
Deutsche Bank's Jim Reid has noted that oil prices have pulled back from yesterday's highs after President Trump struck an upbeat tone on prospects for a nuclear deal with Iran, saying: "It's looking very good that we're going to make a deal with Iran, and it's going to be a good deal." Trump predicted agreement would come "fairly soon" and said he would extend the current two-week ceasefire if a deal were within reach.
The optimism tempered earlier gains driven by more cautious signals, including a Reuters report suggesting US and Iranian negotiators had scaled back ambitions from a comprehensive deal to a temporary memorandum. Iran also signalled through Pakistani mediation that the US must first fulfil existing commitments before talks could progress.
Brent crude is currently 1% down at $98.43 a barrel. WTI futures are 1.4% lower at $89.89.
7.15am: FTSE futures on the front foot
The FTSE 100 looks set to close the week on a positive note, with futures pointing to a gain of around 12 points at the open, building on Thursday's 30-point rise to 10,589.
The mood was lifted overnight by Wall Street, where the S&P 500 and Nasdaq both notched fresh record closes. The Nasdaq rose 0.4%, the S&P 500 added 0.3%, and the Dow gained 0.2%, as investors continued to lean into risk.
The catalyst was geopolitical. President Trump announced a temporary ceasefire between Israel and Lebanon, easing tensions that have weighed on markets in recent weeks. Trump also struck a hopeful tone on US-Iran relations, despite last weekend's talks ending without resolution.
The optimism has yet to reach Asia, however, where markets are broadly in the red. The Nikkei 225 in Tokyo is down 1.1%, the Hang Seng in Hong Kong has slid 1.2%, and Shanghai's SSE Composite is off 0.2%. Seoul's Kospi is down 0.6%, while Sydney's ASX 200 closed marginally lower.