British equities traded higher on Tuesday as investors reacted positively to signs of easing geopolitical tensions after U.S. President Donald Trump halted plans for a military strike against Iran.
The FTSE 100 climbed 0.47%, while Germany’s DAX gained 0.78% and France’s CAC 40 advanced 0.37%. Sterling weakened 0.19% against the U.S. dollar to 1.3396 by 07:16 GMT.
Investor sentiment improved after Trump announced late Monday on Truth Social that he had cancelled a planned attack on Iran following appeals from Gulf Arab allies, including the Emir of Qatar, the Crown Prince of Saudi Arabia and the President of the UAE, who reportedly said a peace agreement remained possible.
Although Trump said the Pentagon remains prepared to launch “a full, large scale assault” if diplomacy fails, the decision to step back from immediate military action supported appetite for risk assets.
Iran said it had submitted revised proposals focused on ending the conflict, though Tehran added it had not yet discussed nuclear-related issues, which remain central to U.S. demands.
White House deputy press secretary Anna Kelly stated that “nothing has changed,” adding that Iran must “renounce their nuclear ambitions for good” and claiming its enrichment capabilities had been “totally decimated” during last year’s Operation Midnight Hammer strikes.
Shipping activity in the region also showed signs of recovery. U.S. Central Command said 85 commercial vessels had been redirected during the blockade of Iranian ports, while traffic through the Strait of Hormuz moved back toward wartime averages after previously falling sharply.
Meanwhile, UK economic data pointed to further strain in the domestic economy. Unemployment unexpectedly rose to 5% in March, while early April figures indicated a decline of roughly 100,000 payrolled employees as higher costs and geopolitical uncertainty weighed on labour demand.
UK Round-Up
Currys Sees Profit Growth Continue
Currys plc (LSE:CURY) said annual profit is expected to increase 18% to around £191 million, with UK and Ireland like-for-like sales rising 3%. The retailer added that it has not yet experienced any direct impact from the Middle East conflict.
Crest Nicholson Delays Results
Crest Nicholson Holdings plc (LSE:CRST) postponed its half-year results until 16 July as it continues negotiations with lenders over a temporary relaxation of banking covenants.
Cranswick Beats Market Expectations
Cranswick plc (LSE:CWK) reported annual adjusted pre-tax profit ahead of analyst expectations, supported by strong demand for poultry and pork products.
SSP Group Notes Softer Passenger Trends
SSP Group Plc (LSE:SSPG) said recent like-for-like sales growth had slowed because of weaker passenger traffic across parts of Asia and Europe linked to the Iran conflict, though the group maintained its full-year outlook.
Standard Chartered Announces Major Restructuring
Standard Chartered PLC (LSE:STAN) said it plans to cut more than 15% of corporate function roles by 2030 as part of a broader restructuring programme designed to increase income per employee by roughly 20% by 2028. The bank also introduced new return on tangible equity targets of 15% in 2028 and approximately 18% by 2030.
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