London's FTSE 100 climbs on prospects of Middle East ceasefire

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London's FTSE 100 climbs on prospects of Middle East ceasefire.

stock :: 8hrs ago :: source - reuters

By Reuters

(Reuters) - The UK's FTSE 100 extended its rebound on Wednesday as investors took ‌comfort from reports about U.S. efforts to bring the Iran war to a close, while also assessing Britain's latest inflation data.

Washington sent Iran a 15-point plan to end the war in the Middle East, the New York Times reported on Tuesday.

The U.S. was seeking a month-long ceasefire to ⁠discuss the 15-point plan, Israel's Channel 12 reported, quoting three sources.

These developments helped the blue-chip FTSE 100 index (.FTSE) rise 1.1% at 1028 GMT and the midcap FTSE 250 (.FTMC) rise 1.3%.

British consumer price inflation held at 3.0% in February, unchanged from January's rate, official figures showed on Wednesday, ahead of a likely upward lurch as war in the Middle East pushes up prices.
Markets have priced in two or three quarter-point hikes this year, with the Bank of ‌England ⁠sharply increasing its inflation forecast, predicting it would rise towards 3.5% by the middle of the year.
The energy sub-index (.FTNMX601010) fell 0.2% after oil prices fell on prospects of a ceasefire in the Middle East war. Oil major Shell (SHEL.L) fell 0.6%.
Miners (.FTNMX551030) rose 3.4% as ⁠gold prices gained after a drop in oil prices eased inflation and rate concerns, while banks (.FTNMX502010) climbed 2.1%, with both sectors delivering the biggest boost on the day.
EnQuest (ENQ.L) fell 6.4% after the North Sea-focussed oil producer maintained its 2026 production outlook, banking on investments in Britain and Southeast Asia, after Britain's windfall levies hit last ⁠year's post-tax profit.
ASOS (ASOS.L) rose 15% after the online retailer reported a 50% jump in first-half profit, helped by cost cuts, app improvements and a sharper fashion offering.