FTSE 100 Slips as Oil, Yields Rise

2026-10-07 07:20 By Joana Ferreira 1 min. read

London’s FTSE 100 fell 0.4% to trade around the 10,500 level on Wednesday, as oil prices rebounded, bond yields moved higher and the dollar strengthened amid rising geopolitical and inflation risks.

Brent crude climbed back above $100 a barrel as Iran intensified attacks on shipping in the Strait of Hormuz, fueling expectations that major central banks may need to raise interest rates further.

UK swaps now price in over 100 basis points of BoE increases by the end of next year, while ECB and Fed expectations also edged higher.

Investors are also likely to remain cautious ahead of the Federal Reserve’s meeting minutes, due later today.

Among individual movers, Shell edged higher after its third-quarter trading update indicated it expects strong results from its energy trading division amid the Iran conflict.

Gas production is forecast to increase, although the company lowered its guidance for refinery utilization and LNG liquefaction volumes.



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