London midday: FTSE gains as energy names rally on higher oil prices

(Sharecast News) - London stocks had extended gains by midday on Monday, helped along by a strong showing in the energy sector as oil prices pushed higher following an escalation in the Middle East conflict. The FTSE 100 was 0.6% firmer at 10,027.35. Brent crude was up 2.6% at $115.52 a barrel and West Texas Intermediate was 2.3% higher $101.96.

Oil prices pushed up after Trump said he wanted to take Iran's oil. Speaking to the Financial Times, the US President said he could "take the oil in Iran" and could seize the export hub of Kharg Island.

In an interview with the newspaper on Sunday, he said his "preference would be to take the oil", comparing the potential move to Venezuela where the US intends to control the oil industry "indefinitely" following its capture of leader Nicolás Maduro in January.

Trump said: "To be honest with you, my favourite thing is to take the oil in Iran but some stupid people back in the US say: 'why are you doing that?' But they're stupid people."

Such a move would involve seizing Kharg Island through which most of Iran's oil is exported.

The comments came as Trump boosted US forces in the region, with the Pentagon ordering the deployment of 10,000 troops trained to seize and hold land. About 3,500 troops arrived in the region on Friday, including roughly 2,200 Marines. Another 2,200 Marines are on their way, while thousands of troops from the 82nd Airborne Division have also been ordered to the region.

"Maybe we take Kharg Island, maybe we don't. We have a lot of options," Trump told the FT. "It would also mean we had to be there [in Kharg Island] for a while."

Asked about the state of Iranian defence on Kharg Island he said: "I don't think they have any defence. We could take it very easily."

Danni Hewson, head of financial analysis at AJ Bell, said: "Market nervousness around the situation in the Middle East continues to ratchet up as the Iran conflict enters a fifth week.

"Comments from President Trump about seizing Iranian oil and the country's Kharg Island export hub, a build-up of US troops and the involvement of Tehran-backed Houthis in the war all create the impression of a conflict that is escalating rather than drawing to a close.

"With shipping routes beyond the Strait of Hormuz now seen at some risk of disruption too, Brent crude oil prices remain firmly in alarm bell territory at more than $115 per barrel and are on course for a record monthly gain. Other commodities including fertilisers and aluminium are also being caught up in the turmoil.

"The FTSE 100 was a rare riser boosted by its heavy exposure to the resources and energy sectors."

On home shores, figures from the Bank of England showed that mortgage approvals rose in February to the highest level since November 2025. Net mortgage approvals for house purchases increased to 62,600 from 60,200 in January.

In equity markets, BP, Shell, Ithaca Energy, Harbour Energy and Diversified Energy all rallied amid rising oil prices.

There wasn't much in the way of corporate news, but Rio Tinto advanced after the miner maintained its 2026 iron ore shipments guidance despite cyclone disruption.

GSK nudged up after saying its Exdensur drug has been approved in China for the treatment of asthma.

CVS Group was under the cosh as it said chief executive Richard Fairman was retiring after six years in the post for personal reasons.

Market Movers

FTSE 100 (UKX) 10,027.35 0.60% FTSE 250 (MCX) 20,819.27 -0.69% techMARK (TASX) 5,553.10 -0.01%

FTSE 100 - Risers

Rio Tinto (RIO) 6,781.00p 3.88% Centrica (CNA) 206.80p 2.89% Land Securities Group (LAND) 543.00p 2.74% Metlen Energy & Metals (MTLN) 32.55p 2.52% SSE (SSE) 2,540.00p 2.33% Glencore (GLEN) 550.00p 2.15% National Grid (NG.) 1,259.00p 1.82% BAE Systems (BA.) 2,102.00p 1.69% Severn Trent (SVT) 3,045.00p 1.67% BP (BP.) 593.50p 1.61%

FTSE 100 - Fallers

St James's Place (STJ) 1,142.50p -2.19% JD Sports Fashion (JD.) 66.92p -1.99% International Consolidated Airlines Group SA (CDI) (IAG) 349.50p -1.82% Prudential (PRU) 1,018.00p -1.69% Persimmon (PSN) 1,059.00p -1.53% Convatec Group (CTEC) 215.40p -1.46% InterContinental Hotels Group (IHG) 128.30p -1.42% Babcock International Group (BAB) 1,152.00p -1.29% Informa (INF) 737.20p -1.15% Airtel Africa (AAF) 349.20p -1.13%

FTSE 250 - Risers

Ithaca Energy (ITH) 254.50p 2.83% Pan African Resources (PAF) 134.60p 2.28% Playtech (PTEC) 326.00p 1.87% Harbour Energy (HBR) 296.80p 1.78% Diversified Energy Company (DI) (DEC) 1,388.00p 1.61% Bytes Technology Group (BYIT) 265.40p 1.38% HGCapital Trust (HGT) 380.00p 1.33% The Schiehallion Fund Limited NPV (MNTN) 1.71p 1.33% Energean (ENOG) 879.00p 1.33% Pennon Group (PNN) 523.00p 1.06%

FTSE 250 - Fallers

CVS Group (CVSG) 1,082.00p -4.59% THG (THG) 29.82p -4.55% Close Brothers Group (CBG) 358.20p -4.07% Harworth Group (HWG) 147.00p -3.92% Wizz Air Holdings (WIZZ) 850.50p -3.90% Rank Group (RNK) 87.40p -3.53% Oxford Nanopore Technologies (ONT) 108.60p -3.38% Oakley Capital Investments Limited (DI) (OCI) 442.00p -3.28% Mony Group (MONY) 147.60p -3.21% CMC Markets (CMCX) 327.50p -3.11%