London pre-open: Stocks to rise amid conflicting Middle East messages

(Sharecast News) - London stocks were set to rise at the open on Tuesday following heavy losses in the previous session, as investors mulled conflicting messages on the status of US-Iran peace talks.

The FTSE 100 was called to open around 35 points higher, having ended down 0.7% on Monday following reports that Iran had pulled out talks with the US over Israel's operations in Lebanon.

US President Donald Trump subsequently told CNBC that he didn't care if the talks with Iran were over. "I really don't care. I couldn't care less," Trump reportedly told CNBC's Eamon Javers in a telephone interview, adding that he thought the discussions were "started to get very boring".

However, Trump also told ABC News that he thinks there could be an agreement with Iran to extend the ceasefire and reopen the Strait of Hormuz "over the next week."

"Looking good, looking good," he reportedly told ABC News' chief Washington correspondent Jonathan Karl in a telephone conversation on Monday. "There was a little glitch today, but I turned that one around very quickly, as you probably noticed earlier," Trump said.

ABC said the glitch, according to Trump, was that Tehran was upset about Israel's attacks on Lebanon.

Trump also claimed on Monday that Israel and Hezbollah had agreed to stop fighting.

Ipek Ozkardeskaya, senior analyst at Swissquote, said: "When you think that the geopolitical headlines could not get worse, they do. Yesterday, the news went from Iran suspending peace talks due to intensified Israeli attacks into Lebanon, sending oil prices up past $95pb.

"Then, Donald Trump came up with the soothing news that Hezbollah and Israel agreed not to fight each other in Lebanon. But Netanyahu contradicted the US President by saying that fighting in Southern Lebanon would continue. It's a mess."

In corporate news, tobacco giant British American Tobacco said it was firmly on track to deliver full-year guidance, driven by continued US delivery and new category momentum.

BAT said revenue growth in its new categories division was accelerating, led by strong performances in its modern oral and vapour units, adding that it now expects to see midteens growth for both the first half and the full year.

Looking ahead, BAT reiterated confidence in its midterm revenue growth target of 3% to 5% revenue and its adjusted diluted EPS growth target of 5% to 8%, but said it expects FY26 figures to land at the lower end of those ranges.

Defence company Chemring reported a record order book at the half-year stage and held full-year guidance as governments continued to ramp up military spending.

Orders at the end of April stood at �1.4bn, a rise of 8%. Underlying core earnings fell 2% to �38.2m.

British Land said it has named Joanne McNamara as its next chief executive.

McNamara is joining from Oxford Properties, where she is currently executive vice president, Europe.

She will replace Simon Carter, who announced in January he was stepping down to head warehouse developer P3 Logistics Park, which is owned by Singapore's GIC.

She is expected to take up the role by November at the latest, after serving out her notice period.