Global Macro & Markets: Ceasefire Hopes Ignite Divergent Growth

Index Update: The FTSE 100 index, a key benchmark index for the London stock exchange, was trading rose around 1.15% on 12 June 2026.  

Macro Update: Global growth is stalling at 2.5% as stagflation takes hold. Responding to severe energy shocks, the ECB raised its deposit rate to 2.25% and the BOJ eyed 1.0%. Meanwhile, oil and gold plummeted from historic highs following unexpected Middle East ceasefire hopes, while SpaceX's IPO boosted technology liquidity.  

Top Market Movers: Among top gainers on FTSE 100 index, International Consolidated Airlines Group (LSE: IAG) witnessed a rise of 6.31% followed by Lion Finance Group PLC (LSE: BGEO) witnessed a rise of 4.79%. 

Commodity Update: The U.S. dollar weakened on Friday after President Donald Trump said a peace agreement with Iran was nearing completion and could be signed soon. Trump also confirmed that planned military strikes against Iran had been cancelled, improving risk sentiment and reducing safe-haven demand. In commodities, gold climbed 2.42% to USD 4,213.65 per ounce, silver surged 5.05% to USD 67.24 per ounce, and copper advanced 1.59% to USD 13,704.00 per tonne. Meanwhile, Brent crude oil fell 1.50% to USD 89.05 per barrel amid easing geopolitical concerns. 

Our Stance: The global economy faces a sharp divergence. Surging energy costs from the Middle East conflict fuel stagflation and prolonged central bank tightening. However, an unprecedented tech milestone and structural AI demand shield tech-reliant exporters. We advise mitigating energy-driven downside risks while aggressively capitalizing on structural technology and infrastructure growth. 

FTSE 100: The FTSE 100   

The UK 100 Index is trading around 10,425.00, up 0.22% in the latest session and holding above its 50-day SMA of 10,406.28, indicating an improving near-term technical structure. Recent price action reflects renewed stability following a period of consolidation, while the 14-day RSI at 52.95 points to neutral-to-positive momentum conditions. The index continues to maintain a constructive bias as buyers retain control above the key moving average. Based on the current level, immediate support is placed near 10,320.75 and 10,216.50, while resistance levels are seen around 10,529.25 and 10,633.50. A sustained move above resistance could support further upside, while a break below support may weaken the short-term outlook.