FTSE 100 Stumbles Amid U.S.-Iran Tensions

Britain's FTSE 100 dropped 0.75%, ending a seven-day rise, due to U.S.-Iran tensions threatening the Strait of Hormuz. BT Group saw a 3.5% decline, while energy and defense stocks gained. Wall Street rose and oil prices steadied following a reported U.S.-Iran ceasefire agreement. Economic uncertainties persist.

Devdiscourse News Desk | (Updates To Market Close) * Pphe Hotel Surges On £921 Mln Takeover Proposal From Fattal Hotel Group* Bt Drops After Report Uk Will Oppose Sunil Bharti Mittal ‌Stake Increase * Energy And Defence Stocks Outperform On Fresh Middle East Strikes* Ftse 100 Down 0.8%; Ftse 250 Down 0.3% May 28 (Reuters) - Britain's Ftse 100 Slipped ‌On Thursday | Updated: 28-05-2026 22:24 IST | Created: 28-05-2026 22:24 IST

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Britain's FTSE 100 saw a decline of 0.75%, closing at 10,425.96, a downturn after seven sessions of gains, as renewed hostilities between the U.S. and Iran raised concerns about the security of the Strait of Hormuz.

The midcap FTSE 250 also dipped slightly by 0.26%. BT Group notably fell 3.5% amidst reports of the UK government opposing any increase in stake by Indian billionaire Sunil Bharti Mittal.

Despite the tension, energy and defense stocks rose, reflective of ongoing U.S.-Iran airstrikes and negotiations. A ceasefire agreement is pending, which raised hopes for the reopening of the crucial Strait of Hormuz and supported a positive outlook for UK stocks.