FTSE 100 Ends Higher on Middle East Ceasefire Hopes
2026-06-04 15:46
By
Joana Ferreira
1 min. read
London’s FTSE 100 erased early losses to close marginally higher at 10,347 on Thursday, in line with gains across European markets as investors welcomed signs of easing tensions in the Middle East.
However, the UK benchmark underperformed regional peers as declines in oil majors and Asia-focused banks limited gains.
Sentiment improved after Israel and Lebanon agreed to a ceasefire, raising hopes for broader de-escalation in the region.
Meanwhile, the Republican-led US House voted to end military operations against Iran, a rare rebuke of President Trump’s administration.
Lower crude prices weighed on energy stocks, with Shell down 1.5% and BP falling 0.3%, while investors also pared back expectations for further Bank of England rate hikes.
Among the biggest laggards, Prudential (-7.6%), Standard Chartered (-3.1%), and HSBC (-2.0%) declined after reports that some banks had suspended the opening of Hong Kong accounts for mainland Chinese clients, a key channel for overseas investments.