(Sharecast News) - London stocks were set to jump at the open on Tuesday following solid gains on Wall Street, amid hopes the US-Iran conflict could be nearing an end.
The FTSE 100 was called to open around 65 points higher. At 0715 GMT, Brent crude was down 1.5% at $91.15 a barrel and West Texas Intermediate was off 1.7% at $85.41.
Sentiment was boosted after Donald Trump said overnight that the war with Iran was "effectively over".
Speaking to reporters at the White House, he said: "We're just keeping it the status quo.
"And we're doing that really at the behest of countries that are their neighbours."
He added: "At this point, taking the military action doesn't seem to be a very necessary thing - but we're locked and loaded, ready to go for any reason."
Meanwhile, in a post on Truth Social, the US president said he had had an "excellent" talk with the Qatari Prime Minister and highlighted "positive momentum toward an end to this conflict".
On home shores, figures from the British Retail Consortium and KPMG showed that retail sales growth remained sluggish in October as consumers held back spending ahead of Black Friday and Christmas amid mounting pressure on household budgets.
Total retail sales increased by 1.5% year on year over the four weeks to 31 October, slightly below the 1.6% growth recorded in the same period last year, but ahead of the three-month average of 1.2%.
Non-food sales were flat as shoppers delayed purchases of big-ticket items such as furniture and white goods in anticipation of November discounts. In-store non-food sales fell 1.1%, while online non-food sales rose 1.8%.
The proportion of non-food purchases made online increased to 38.6% from 38.2% a year earlier, helped by wet weather.
Food sales provided some support, rising 3.2% year on year. Spending was boosted by Halloween, the half-term holiday and some households stocking up on essentials following government advice on emergency preparedness, the BRC said.
"October was subdued for retailers, as shoppers delayed spending ahead of Black Friday and Christmas," said Helen Dickinson, chief executive of the BRC.
"Retailers are hoping pent-up demand translates into stronger spending through November and December, as they work hard to deliver great choice and value for households this Christmas."
Sarah Bradbury, chief executive of IGD, warned that shopper confidence remained fragile, with higher energy costs, inflation and interest rates creating a challenging outlook for 2027.
"Food and grocery promotions should help keep shoppers spending during the festive period, but we expect January to be a difficult month for many households," she said.
In corporate news, telecoms giant Vodafone upped full-year guidance despite a slide into the red, after interim revenues surged.
The blue chip saw total revenues increase 11.4% in the six months to September end to 21.9bn, following a 12.8% improvement in service revenues to 18.4bn. Adjusted earnings before interest, tax, depreciation, amortisation and lease-related expenses grew 12.6%, or by 6.4% on an organic basis, to 6.5bn.
However, losses came in at 3.6bn, compared to profits of 1.1bn a year previously. Vodafone attributed the slide to non-cash accounting charges, including an impairment charge in Germany, primarily driven by adverse changes in interest rates, and a write-down of deferred tax assets in the UK.
Yet the group remained confident looking forward and its upgraded guidance ranges. It now expects adjusted EBITDAaL to come in between 13.2bn and 13.4bn, and adjusted free cash flow of 2.8bn and 3bn. It had previously forecast for EBITDAal of between 13bn and 13.3bn, and cash flow in the range of 2.6bn to 2.9bn.
Energy sales and distribution business DCC Energy reported modest first-half profit growth, with strong performances in its energy products and mobility businesses helping offset continued weakness in energy services, while adjusted earnings per share surged on the back of last year's share buybacks.
DCC said adjusted operating profits from continuing operations rose 1.1% year-on-year to £175.2m in the six months ended 30 September, while adjusted continuing EPS increased 25.6% to 120.5p. Revenues climbed 20.2% to £7.29bn, reflecting higher commodity prices, while free cash flow conversion improved to an "excellent" 119% on a rolling 12-month basis from 95% a year earlier.
Military and civil protection equipment maker Avon Technologies reported a large jump in earnings and sales as governments ramped up spending in response to political instability.
For the fiscal year ended 30 September 2026, Avon Technologies reported revenue of $353.7m, up 12.7%. Adjusted pre-tax profit rose 58.7% to $55.4m, while statutory pre-tax profit surged 220.6% to $42.0m, reflecting strong operational performance, higher production volumes and benefits from the group's transformation programme.
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