FTSE 100 Trades at 6-Week Low
2026-05-12 07:29
By
Agna Gabriel
1 min. read
The FTSE 100 fell around 1% to a six-week low on Tuesday as doubts over the durability of the US-Iran ceasefire and rising political uncertainty in the UK weighed on sentiment.
Pressure on Prime Minister Keir Starmer intensified after more than 70 Labour MPs reportedly called for him to outline a timetable for his departure following weak local election results, increasing concerns over political stability.
Meanwhile, President Trump said the ceasefire with Iran was on “massive life support” after Tehran’s latest response to a US-backed peace proposal.
Banks led the decline, with HSBC down 1.5%, Lloyds Banking losing 4%, Barclays falling 4.4%, NatWest down 4.6%, and Standard Chartered retreating 2%.
AstraZeneca and GSK also slipped.
Vodafone dropped over 2.5% despite reporting earnings ahead of expectations and a return to growth in Germany, its biggest market.
Limiting losses, oil majors Shell and BP gained as crude prices stayed elevated amid persistent tensions in the Middle East.