Wednesday Morning Markets: FTSE Edges Up as Mid-East Escalation Sends Oil Higher; Greggs, Reckitt Shine on Results

London’s blue-chips opened firmer on Wednesday, with the FTSE 100 up 0.2%, although the more domestic-focused FTSE 250 is down 0.3%.

The blue-chip index is bucking weakness on the continent where the DAX has fallen 0.5%, the CAC 40 has dropped 0.7% and the Stoxx 50 has declined 0.9% amid renewed Middle East jitters.

Brent crude has jumped 3.4% to $84.90 a barrel after Iran launched a surprise missile attack on US bases in the region, breaking a days-long lull in fighting.

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The US and Saudi Arabia retaliated with joint strikes on Iran-backed militias in Iraq, while Iran also halted tankers in the Strait of Hormuz. The escalation has reignited fears over supply disruption, though spot gold has remained resilient, currently up a modest 0.2% to $4,036.

Corporate news dominated the FTSE tape. Greggs has surged 9% after strong interim results showed total sales up 7.2% and operating profit jumping almost 23% to £86.5m, driven by market-share gains and cost discipline.

Reckitt Benckiser has rallied nearly 5% on its own upbeat half-year figures, making it one of the top FTSE 100 risers.

Among the other FTSE 100 big gainers, Weir Group has jumped 6.9% as it reported 8% order growth and reiterated full-year guidance despite margin pressure. Standard Chartered gained 4.7% on its half-year report.

On the downside, Aberdeen Group has fallen 5.4% even after adjusted operating profit rose 21%, as investors focused on continued outflows in its Adviser and Investments arms.

St James’s Place dropped 2.3% despite a resilient set of interims, and Smiths Group slipped 2.2%.

In the FTSE 250, Greggs leads the gainers, alongside Ceres Power (+6.2%) and Inchcape (+4.5%).

Lancashire Holdings fell 5.5% despite a strong H1 profit, while Breedon Group dropped 3.7% following its interim results and a non-executive appointment, and Renishaw eased 2.8%.

Elsewhere, Aston Martin posted interim results and Metlen Energy signed a landmark gallium supply agreement.