The FTSE 100 rose in morning trading on Tuesday 10 November 2026, extending Monday's gains as Brent crude fell below $91 a barrel on hopes that the conflict between the United States and Iran could be nearing an end.

At 08:45 GMT the index of leading London shares was 0.5% firmer at 10,838.63, while the FTSE 250 was also up 0.52% at 24,834.33. The FTSE 100 had closed 1.02% higher at 10,782.87 on Monday, when Germany's DAX gained about 1.7% and France's CAC 40 rose 1.16%.

European markets opened higher again on Tuesday, with the DAX up 0.9% and the CAC 40 up 0.8% in morning trading. Asian markets had also risen overnight, with Japan's Nikkei 225 up 2.9%, after Wall Street's strongest session since April, when the S&P 500 rose 2.35% to 7,549.94 and the Dow added 2.15% to 52,389.75.

Oil and gold fall as peace hopes lift sentiment

Brent crude was down 1.8% at $90.90 a barrel in early London trading, and West Texas Intermediate was 2% lower at $85.16. Spot gold lost about 1% to $4,102 an ounce, while sterling was broadly flat against the dollar at $1.3439.

Sentiment was helped after Donald Trump said overnight that further US attacks on Iran were "highly unlikely", with what he described as positive momentum behind negotiations. Lower oil prices ease cost pressures on businesses and households, which supported shares across several sectors of the London market.

Energy producers were the main fallers, with Shell down 1.51% to 3,644.25p and BP down 1.76% to 547.00p as crude slid. Among the risers, Lion Finance Group gained 3.24% to 13,715.00p and Prudential rose 2.97% to 985.30p.

US inflation data is the next test

Attention now turns to US consumer price inflation figures for October, due at 13:30 GMT. It is the last inflation reading before the Federal Reserve meets on 9 December, and it will shape expectations for interest rates, government bond yields and the dollar.

Traders were assigning an 84% probability to a Federal Reserve interest rate increase at its December meeting, according to the CME FedWatch tool, compared with 74% a week earlier. A cooler-than-expected inflation reading could soften those expectations, while a hot figure could unsettle the rally.

US futures were little changed after Monday's run, with Nasdaq 100 futures slightly lower, leaving European markets with little fresh fuel until the afternoon's data. Sharecast reported the London open, and AskTraders covered the morning session. Share prices can fall as well as rise, and this article is not investment advice.