FTSE 100 Rises 0.23% as Middle East Tensions Ease; Apollo’s £5.7 Billion easyJet Bid Lifts Market Sentiment

The FTSE 100 rose 0.23% on July 10, 2026, as diplomatic signals eased Middle East tensions. London’s benchmark index gained ground alongside Germany’s DAX, up 0.24%, and France’s CAC 40, up 0.21%. Deal activity also drove sentiment, with Apollo Global’s £5.7 billion takeover approach for easyJet grabbing investor attention. The FTSE 100 had tumbled 1.7% just two sessions earlier on renewed Iran-related fears. Friday’s rebound offered some relief, though the index remained on track for a weekly loss.

What Pushed the FTSE 100 Higher

The FTSE 100 (^FTSE) gained 0.23% by 07:25 GMT on July 10, trading alongside a stronger pound. Sterling strengthened 0.14% against the US dollar to $1.3426 during the session. President Trump said Washington would respond to Iranian-linked attacks on shipping in the Strait of Hormuz. He also reiterated that Iran “can never possess a nuclear weapon,” keeping tensions in focus. 

Regional mediators, including Qatar, Saudi Arabia, Pakistan, Turkey, and Egypt, stepped up efforts to salvage stalled US-Iran nuclear talks.

• FTSE 100: up 0.23% as of 07:25 GMT on July 10, 2026.
• Germany’s DAX: up 0.24% during the same session.
• France’s CAC 40: up 0.21%, tracking broader European gains.
• British pound: up 0.14% against the dollar, to $1.3426.

Apollo’s easyJet Bid Adds Momentum

Apollo Global topped rival bidder Castlelake with a £5.7 billion agreed-in-principle offer for easyJet. The proposal values easyJet at £7.15 per share, above Castlelake’s earlier £6.90 bid. EasyJet shares surged 14.5% to lead the FTSE 250, pulling travel and leisure stocks up 1.6% overall. The bidding contest has drawn sustained attention from FTSE 100 and FTSE 250 investors alike this week. Apollo’s higher offer reinforced broader confidence in UK-listed takeover targets during Friday’s session.

Other Corporate Movers Behind the Rally

• Vodafone (LSE:VOD) jumped 12.6% after e& agreed to sell its 16.3% stake to Xavier Niel’s Vega for $5.95 billion.
• Hays (LSE:HAS) rose 13.8% on stronger-than-expected fiscal 2026 operating profit guidance.
• Industrial metal miners gained 0.8%, led by Atalaya Mining, Antofagasta, and Rio Tinto.
• St James’s Place fell 8.7% on reports involving a troubled partner firm.

FTSE 100’s Rough Week Before Friday’s Gains

The FTSE 100 suffered its worst single-day drop since May 15 on July 8, falling 1.7% to 10,489.04. That slide followed President Trump’s comment that the Iran ceasefire was “over.” The index fell further on July 9, down 0.49%, as AstraZeneca shares slumped after disappointing late-stage trial results. Both sessions left the FTSE 100 and FTSE 250 on pace for weekly losses. Friday’s 0.23% gain provided only partial recovery from that two-day slide.

Timeline of the FTSE 100’s Volatile Week

• July 8, 2026: FTSE 100 falls 1.7% to 10,489.04, its worst day since May 15.
• July 9, 2026: Index drops 0.49% further, hurt by AstraZeneca’s trial setback.
• July 10, 2026: FTSE 100 rises 0.23%, aided by easyJet and Vodafone deal news.

Corporate Earnings Add Mixed Signals

MJ Gleeson reported annual profit in line with market expectations on Friday. The homebuilder cautioned that geopolitical uncertainty and possible UK policy shifts could affect its fiscal 2026 outlook. Hays offered a more upbeat message, forecasting operating profit at the top end of analyst expectations. Cost-cutting measures at Hays helped offset continued softness in recruitment activity. These mixed corporate updates added texture to an otherwise deal-driven trading session for the FTSE 100.

Final Thoughts

The FTSE 100’s 0.23% rise on July 10 reflects cautious optimism rather than a full reversal of this week’s losses. Deal-driven gains in Vodafone and easyJet offset lingering unease over Middle East tensions and weaker pharmaceutical sentiment. With the index still on track for a weekly decline, investors will watch closely whether diplomatic progress with Iran holds through the coming week.

Disclaimer:

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