London pre-open: Stocks to slump as Israel-Iran conflict continues
By Michele Maatouk
Date: Tuesday 17 Jun 2025
(Sharecast News) - London stocks were set to slump at the open on Tuesday as investors mulled the latest developments in the conflict between Israel and Iran, after US President Trump warned Iranians to evacuate Tehran.
The FTSE 100 was called to open down around 50 points.
Ipek Ozkardeskaya, senior analyst at Swissquote Bank, said: "Stocks in Europe and the US rallied as oil and gold retreated yesterday on news that Iran is willing to resume talks on its nuclear program. The market interpreted this as a sign that Iran either has no intention - or possibly no means - to escalate the war, easing concerns about potential disruption to the Strait of Hormuz, a critical chokepoint through which around 20% of global oil and gas flows transit.
"However, this is not a classic de-escalation story. While Iran appears to be signalling restraint, former President Donald Trump urged the evacuation of Tehran, and Israel has vowed to continue its strikes.
"This makes it a one-sided de-escalation at best, and keeps risks across energy markets and haven assets tilted to the upside. If Iran fails to find room to manoeuvre diplomatically, it could easily make a U-turn."
In UK corporate news, construction services group Morgan Sindall said that full-year results for 2025 will be "significantly ahead" of previous expectations due to a stronger-than-forecast performance from the Fit Out division in the second quarter.
Publishing and events business Informa said that underlying revenues had grown 9.3% in the five months ended 31 May as it told investors that roughly 70% of full-year target revenues had already been traded, booked or committed.
Informa said B2B Live Events revenues were up 8.3% in the period, while its Academic Markets arm reported underlying revenue growth of 13.7%, and its Informa TechTarget business posted an underlying revenue decline of roughly 5%, reflecting "continuing market softness" through the accelerated combination period.
Industrial equipment rental firm Ashtead posted record group rental revenues in the twelve months ended 30 April, up 4% year-on-year at $9.98bn, but said overall revenues were down 1% at $10.79bn as a result of lower sales of used equipment.
Email this article to a friend
or share it with one of these popular networks:
You are here: news
10 Lower Thames St,
London EC3R 6EN