FTSE 100 slides as Iran tensions and tech rout hit markets

FTSE 100 slides as Iran tensions and tech rout hit markets
FTSE 100 slides as Iran tensions and tech rout hit markets

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London’s FTSE 100 closed lower on Friday, dropping more than 1% as a renewed flare-up in US-Iran tensions over the Strait of Hormuz combined with a global technology selloff to rattle investor confidence across European markets.

Iran Ship Attack Unsettles Markets

The index fell to around 10,412 points, shedding gains from Thursday’s session when it had closed at approximately 10,530. The selloff was triggered in part by an Iranian drone attack on a Singapore-flagged container ship in the Strait of Hormuz on Thursday, which U.S. officials confirmed was carried out by Iran’s Islamic Revolutionary Guard Corps. cnn.com foxnews.com markets.investorschronicle.co.uk tradingeconomics.com

President Donald Trump accused Iran on Friday of violating a ceasefire agreement by launching “at least four One Way Attack Drones at Ships” passing through the strait. The attack prompted the International Maritime Organization to pause its evacuation of hundreds of vessels stranded in the Persian Gulf since the Iran conflict began in February. Reuters reported that Iran reasserted its right to control shipping through the waterway and warned Gulf states against siding with the United States. reuters.com cnbc.com npr.org

Brent crude, which had fallen sharply earlier in the week as supply concerns eased, traded around $73.74 per barrel on Friday morning, down modestly from the previous session. The benchmark had dropped more than $3 on Wednesday to its lowest level since before the Iran war began. fortune.com reuters.com

Tech Rout Extends Globally

The technology sector selloff, now in its fifth consecutive session, added further pressure on London-listed stocks. Semiconductor shares bore the brunt of the losses across Europe, with ASML falling 2.3%, Infineon dropping 4%, and STMicroelectronics shedding 4.5%, according to CNBC. cnbc.com

The weakness originated in Asia, where South Korea’s SK Hynix fell more than 8% and Samsung Electronics lost around 9%. Japan’s Advantest declined nearly 10%. The Nasdaq Composite had fallen for four straight sessions heading into Friday, dragging global sentiment lower. cnbc.com

Outlook Remains Uncertain

The combination of geopolitical risk in the Middle East and a reassessment of technology valuations has left investors navigating an uneasy landscape. While the broader trend for the FTSE 100 remains within a rising channel near recent highs, the immediate test for markets hinges on whether the US-Iran ceasefire agreement — which includes a 60-day negotiation window on Iran’s nuclear program — can hold amid Tehran’s continued assertions of control over one of the world’s most critical shipping lanes. nytimes.com hilsdentrading.substack.com reuters.com

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