FTSE 100 Rises on Middle East Peace Deal Optimism

London Stock Exchange

The benchmark index of the UK stock market, the FTSE 100, experienced an upward movement on Tuesday morning, building on the gains from the prior session, fueled by optimism surrounding a potential peace agreement between the U.S. and Iran. Expectations regarding a possible U.S.-Iran agreement increased following the announcement by U.S. President Donald Trump of a temporary halt in military action against Iran.

Trump indicated that there is a ‘very good chance’ for the United States to secure an agreement with Iran aimed at preventing Tehran from acquiring a nuclear weapon; however, he also noted that a significant offensive would be initiated if an acceptable agreement is not reached in the near future. The FTSE 100, having reached 10,409.77, recorded an increase of 69.00 points or 0.67% at 10,392.75 approximately fifteen minutes prior to noon.

  • IG Group Holdings led the gainers, experiencing an increase of nearly 10%. The stock has experienced an increase subsequent to the company’s revision of its full-year 2026 organic revenue growth forecast to a range of 10-15%, based on a 2025 figure of roughly £1.10 billion.
  • Diploma experienced an increase of 5.4%. The Specialist distribution group announced robust half-year earnings and has revised its guidance upward.
  • Airtel Africa, having experienced a significant decline in the prior session, rebounded with an increase of 4.75% this morning. 3i Group and RightMove experienced increases of 4.4% and 4.3%, respectively.
  • JD Sports Fashion, Experian, Next, Severn Trent, The Sage Group, BAE Systems, United Utilities, Autotrader Group, Marks & Spencer, Smith & Nephew, National Grid, and Kingfisher experienced an increase of 2%-3%.

LSEG shares experienced an increase of 1.8%. The operator of the London Stock Exchange has declared the continuation of its enduring technology collaboration with Broadcom. Dr. Martens experienced an increase of 8.5%. The shoemaker reported a surprising 61% increase in full-year adjusted pre-tax profit. Miners Rio Tinto, Antofagasta, Glencore, Anglo American Plc, and Fresnillo experienced declines ranging from 1% to 2.3%. Endeavour Mining experienced a decline of approximately 0.3%. The Office for National Statistics reported a slight increase in the UK unemployment rate for the three months ending in March.

The unemployment rate was recorded at 5% during the January to March timeframe, an increase from the 4.9% observed in the preceding three-month interval. The rate was anticipated to hold steady at 4.9%. During the same timeframe in the previous year, the rate stood at 4.5%. Data indicated that the annual growth in employees’ average earnings, excluding bonuses, in Great Britain was 3.4% during the January to March period, a decline from 3.6% observed in the December to February period. With the inclusion of bonuses, wage growth has accelerated to 4.1%, up from 3.9%.