FTSE 100 leaps to one-month high after Trump announces two-week Iran ceasefire

London’s FTSE 100 surged on Wednesday, April 8, 2026, after US President Donald Trump announced a two-week ceasefire with Iran, igniting a rally in risk assets and lifting the index to its highest level since early March. By mid-afternoon BST, the FTSE 100 stood at about 10,666.72, up 317.93 points or 3.07% from Tuesday’s close of 10,348.79, after touching an intraday high of 10,687.88.

Trading Economics recorded the index up 258 points, or 2.49%, with Antofagasta, EasyJet and Fresnillo leading gains at 12.17%, 10.75% and 9.96%, respectively. The rebound followed a weaker Tuesday session, when the benchmark slipped 87 points, or 0.84%, to close around 10,349, with Compass, Melrose and 3i among the laggards.

The ceasefire-driven drop in energy prices split the market, weighing on oil majors but buoying most other sectors. BP and Shell fell sharply as crude retreated, with BP down around 8% before the bell and Shell off roughly 6.3% despite stronger oil trading results.

Shell also cut its gas production outlook and cited the Middle East conflict in quarterly results released the same morning. In contrast, lower fuel costs and a brighter global trade outlook propelled miners, banks, retailers, airlines, travel companies and industrials.

Miners were among the standout performers. Antofagasta jumped more than 12% as lower energy inputs and a firmer economic backdrop supported sentiment. Fresnillo also advanced strongly, while Glencore and Anglo American gained about 9%–10%. According to Investors Chronicle, Glencore was up 37.7% year to date as of the rally.

In travel, EasyJet climbed over 10% as cheaper oil improved near-term costs. IAG, the owner of British Airways, rebounded as well, rising 34.4 pence to 394.6p, though it remained about 8% below its pre-conflict level. Rolls-Royce added roughly 9% to 1,257p, returning to positive territory for the year on improved expectations for engine flying hours.

Lloyds Banking Group and NatWest also featured among the notable gainers. The move rippled through interest rate expectations. Chris Beauchamp, chief market analyst at IG, said the ceasefire news reduced the likelihood of additional Bank of England hikes, with markets pricing about 32 basis points of increases for the year, down from 62 basis points the day before.

That repricing offered a tailwind to rate-sensitive areas, including banking, property and consumer discretionary stocks. Sterling strengthened alongside equities, rising roughly 1% against the US dollar to about $1.3424 following the ceasefire announcement.