FTSE 100 seen lower as oil prices climb on US-Iran strikes

The FTSE 100 is anticipated to open flat on Tuesday morning, with futures from investment platform IG indicating a subdued start. Oil prices continued their upward trend in early trading, with Brent crude, the international benchmark, gaining 0.5 per cent to approach $98 per barrel. This rise is attributed to Iran's plans to tighten control over the vital shipping lane, the Strait of Hormuz, by establishing a new "restricted zone" that will impose sanctions on ships using the waterway. Danni Hewson, AJ Bell's head of financial analysis, noted that escalating Middle East tensions are weighing on the FTSE 100. However, energy giants BP and Shell provided some support, mitigating the downward pressure on London's blue-chip index. In domestic UK news, Chancellor John Healey delivered his first major speech, pledging to stimulate economic growth in the UK's regions and reaffirming commitment to fiscal rules.