FTSE 100 Edges Higher Amid Global Uncertainty And Rate Pressures

Index Update: The FTSE 100 index, a key benchmark index for the London stock exchange, was trading rose around 0.72% on 31 March 2026. 

Macro Update: Global growth is resilient at 3.3%, but geopolitical conflict in the Middle East is driving energy volatility and sticky inflation. While AI investment fuels US and Indian expansion, high interest rates and structural deficits persist, forcing central banks to delay expected cuts amid diverging recoveries. 

Top Market Movers: Among top gainers on FTSE 100 index, Antofagasta PLC (LSE: ANTO) witnessed a rise of 3.23% followed by Fresnillo PLC (LSE: FRES) witnessed a rise of 2.52%. 

Commodity Update: The U.S. dollar strengthened on Monday, reaching its highest level since May 2025 as investors continued to favour the currency amid escalating conflict in the Middle East. The stronger dollar was accompanied by gains in precious metals, with gold rising 0.79% to USD 4,593.50 and silver advancing 2.42% to USD 72.35, while copper edged 0.01% higher to USD 12,208.40. Brent crude, however, fell 1.09% to USD 106.24, capping a volatile month shaped by inflation and slower growth concerns. 

Our Stance: The global outlook remains resilient yet fragile, with 3.3% growth tempered by Middle East instability. While AI investment boosts the US and India, sticky inflation and structural deficits force central banks to maintain high rates, complicating the recovery for EMDEs. 

FTSE 100: The FTSE 100 Index is currently trading near 10,191.75, gaining around 0.63%, but continues to remain below its 21-day moving average near 10,217.43 and 50-day moving average near 10,348.83, indicating a weak near-term structure. The price action reflects a rebound from the recent decline toward the 9,900 area, suggesting the index is attempting to stabilise after the prior pullback. Momentum remains subdued, with the RSI near 48.37, indicating improvement from weaker levels but still below a stronger bullish threshold. On the downside, 10,000–9,900 may continue to act as an important support zone, while 10,220–10,350 is likely to remain a key resistance band, potentially limiting further upside in the near term.