FTSE 100 stocks poised for gains as oil prices fall on US-Iran peace hopes

The FTSE 100 is anticipated to fall as tensions between the US and Iran escalate over the Strait of Hormuz. Oil prices are holding steady above $73 per barrel following days of heightened conflict. The US announced it had launched strikes on Iran over the weekend, with President Donald Trump renewing threats against the regime. According to the US, both Iran and the US have agreed to pause any attacks and renew talks over the Strait of Hormuz, stating that "stand down for now and vessels can move freely" while technical talks continue.

A 14-point memorandum of understanding (MOU) was agreed between the two nations on June 17, under which the Strait of Hormuz would be reopened for traffic. However, there have been several days of exchanging fire since Iran hit a cargo vessel in the strait on Thursday, with both the US and Iran accusing the other of breaking an interim ceasefire.

Iran's foreign minister, Abbas Araghchi, has insisted that Tehran alone must govern the Strait of Hormuz, stating that any alternate arrangement would "only lead to further complications" and "delay the reopening of the Strait of Hormuz, and increase the level of tension."