FTSE 100 Live: Stocks jump; Unilever soars on decade-best sales

Welcome back to the CityAM FTSE 100 liveblog.

It’s Tuesday and the UK’s blue-chip index has made strong gains following a peaky start to the day.

The markets took a boost yesterday after oil dropped back after reaching two-month highs of more than $100 per barrel last week when the Iran backed-Houthis took responsibility for tanker strikes in the Red Sea.

But on Monday Brent crude, the international benchmark, fell back six per cent to $90.98 per barrel after the US said President Trump was pausing strikes on Iran while an Omani delegation leads talks to secure transit through the Strait of Hormuz. This drop-off in oil prices boosted global markets.

Banking giant Barclays announced a new £1bn buyback programme on Tuesday after profit surged ahead of market expectations in the second quarter of the year. But the bank was the FTSE 100’s biggest faller on Tuesday morning, shedding five per cent.

“The indifference may lie with the mix of earnings and concerns over quality rather than quantity, as the investment bank provided the bulk of the upside profit surprise while the sale of an American Airlines co-branded credit card operation and the acquisition of Best Egg gave a bit of a messy feel to the numbers,” said Russ Mould, AJ Bell investment director.

Unilever led the UK’s blue-chip index after posting its best sales in more than a decade. ““The numbers delivered genuine volume acceleration that suggests the long promised shift from price led to demand-led growth is starting to stick,” said Adam Vettese, an analyst at eToro.

We’ll be bringing you the latest market updates and analysis as the day develops.