The FTSE 100 slipped more than 0.5% on Tuesday, as a looming deadline imposed by US President Donald Trump on Iran kept investors on edge. Trump intensified his rhetoric, insisting that the Strait of Hormuz must be reopened as a condition of any deal and warning that failure to comply by the deadline could prompt US strikes on key infrastructure, including bridges and power plants. The prospect of military action further heightened concerns about the direction of the conflict.
The ongoing disruption to this critical shipping corridor has underpinned oil prices, providing support to energy heavyweights Shell (+0.4%) and BP (+1.3%). However, the broader market tone remained cautious. Pharmaceutical giants AstraZeneca (-2.7%) and GSK (-2.6%), along with Rolls-Royce (-3.6%), registered notable declines, while major banks HSBC (-0.4%), Lloyds (-1.9%) and Barclays (-0.8%) also slipped.
