There’s lots going on at home and abroad for markets to reflect, with the Middle East conflict and its effects dominating sentiment.
Oil prices are reflecting Donald Trump’s decision to pause Project Freedom – the two-day-old US effort to escort shipping through the Strait of Hormuz trade route that had antagonised the Iranians.
The Brent crude oil price has tumbled below $108 a barrel. It had stood at $113 this time yesterday.
Renewed hopes for the success of peace talks or another false dawn? We will see.
Certainly, stock markets are up, with mining and financial shares having a better day on the FTSE 100 after its 1.4% decline yesterday.
The index has gained 1.1% at the open to stand at 10,331. Among the leading risers is Next, the bellwether retailer.
Its shares were up 1% after it raised annual profit guidance in a first-quarter trading update that also revealed price rises to account for growing costs linked to the war.
Next guided that international prices outside Europe would go up by around 8% this month as it grappled with an expected £47m hit from things like extra transport and air freight costs. It had forecast £15m of extra costs back in March.
The company maintained its view that UK shoppers would only see a 0.6% average hike to prices ahead, under its new cost assumptions.
Another company reporting its progress was JD Wetherspoon.
The pub chain repeated an earlier warning in March that extra costs and taxes may lead to annual profits missing market expectations.
That was despite a 3.4% rise in like-for-like sales for the 13 weeks to 26 April.
Its shares, down 21% in the year to date ahead of today’s open, were 1.5% up in early trading.
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