FTSE 100 Live: Index rockets at open as miners and airlines climb on Iran ceasefire Proactive uses images sourced from Shutterstock8.12am: FTSE 100 flies at the open

There we go: the FTSE 100 has been launched 248 points higher to 10,596 in just over 10 minutes.

Miners and airline-associated shares are topping the early risers, with copper miner Antofagasta surging 14.5% and precious metals specialist Fresnillo up around 11%. 

Aeroplane engine maker Rolls-Royce, housebuilder Persimmon, British Airways owner IAG and miner Anglo American are all up over 9%.

There are only five stocks in the red, with BP and Shell falling 8.2% and 7.1%, while British Gas parent Centrica drops 2.8%.

Two more, Schroders and BAE systems are just below flat. 

7.57am: Shell expects much stronger trading profit

Shell PLC (LSE:SHEL, NYSE:SHEL) has revealed that first-quarter gas production will fall from the previous quarter after disruption linked to the war in the Middle East, but that trading profits are likely to be "significantly higher".

Ahead of full first-quarter results early next month, the FTSE 100 oil and gas giant said integrated gas output is expected at 880,000 to 920,000 barrels of oil equivalent per day, down from 948,000 in the fourth quarter, reflecting the impact of fighting in the Gulf on volumes from its Qatar operations.

Liquefied natural gas volumes are expected broadly in line, while upstream production is set to decline slightly.

Oil trading is expected to be "significantly" stronger than the previous quarter, while marketing earnings are also expected to be "significantly higher". 

7.43am: Close Bros not changing motor finance provision yet

Close Brothers Group PLC (LSE:CBG) says it expects to face costs of about £320 million from the UK motor finance redress scheme.

The merchant banking group revealed its fresh estimate, which compares with an existing provision of £294 million set aside as of January, after the Financial Conduct Authority’s published its updated policy statement last week on compensating customers for historic commission arrangements on car loans.

The company said no changes have yet been made to its existing provision, which remains under review.

7.35am: A market view on the ceasefire

Alongside the US and Iran's two-week ceasefire agreement, President Trump posted that a 10-point proposal has been received from Tehran that he said was a "workable basis on which to negotiate" towards a more durable peace agreement.

"Unsurprisingly," says market analyst Michael Brown at Pepperstone, "the initial market reaction has been a positive one, albeit perhaps not as sizeable as one might’ve expected, largely owing to the grind higher in risk assets seen since the tail end of Tuesday’s cash session".

He says market participants "have been desperate for anything resembling good news for some weeks now, and even more desperate to see concrete steps being taken towards de-escalation" and so ticking both those boxes means people are willing to up their risk levels significantly, including buying shares.

Brown says this "helps to reinforce the theory that many market participants are operating in a mindset where they seek not to get ‘caught short’" and "when the probability of a U-turn is so high, it’s difficult to be especially bearish, for especially long, or with especially high conviction, as has been proved time & again during the Trump presidency".

Providing the ceasefire holds, including evidence of commodity flows through the Strait of Hormuz, and that the conflict is seen to be on a path towards de-escalation, he says, "it’s reasonable to assume that equities have probably now put in a bottom… which is unlikely to be tested unless tensions flare up once more".

Focus will also fall on the extent of the economic damage from the conflict and the surge in energy prices around the globe.

"Of course, the significant risk here is that the ceasefire doesn’t hold, that we then see a re-escalation in the conflict, and are essentially back to ‘square one’," says Brown, which for markets would mean higher oil prices, a rising dollar and "everything else from stocks to bonds to metals coming under considerable pressure".

7.21am: UK house prices fall

Away from the geopolitics, Halifax has released its house price index for March, showing a drop of 0.5%, following a 0.3% rise the month before. 

Annual growth slowed to 0.8% from 1.2% in February.

Within England, the north east demonstrated the strongest annual percentage growth , at 5%, surpassing Scotland, while regionally, Northern Ireland's growth is highest at 8.7%. 

South-east England saw a decline of 1.8%, with London house prices falling 1.2% on average. 

Geopolitics was cited as the reason for the slowdown, by Amanda Bryden, Halifax's head of mortgages, who said the housing market's moved reflected "the wide uncertainty regarding the conflict in the Middle East". 

"Concerns about higher energy prices pushed up inflation expectations, which in turn led to a rise in mortgage rates, reducing confidence that interest rates will be cut this year and dampening the initial momentum in the market seen at the start of the year."

She added: "The effect on house prices will largely depend on how long‑lasting these pressures prove to be and the wider implications for the economy and unemployment. Mortgage rates are a key factor for buyers, particularly those getting on the ladder for the first time, who are already balancing the challenge of saving a deposit, with the cost of borrowing.

“As a result, many are likely to watch movements in mortgage rates closely, before making a decision on any home purchase." 

7.13am: FTSE 100 set to rocket as US-Iran ceasefire agreed

The FTSE 100 is expected to rocket roughly 300 points higher on Wednesday morning, as oil prices dived back to below $94 a barrel after the US and Iran agreed a two-week ceasefire. 

London's blue-chip index had dropped 87.5 points or 0.8% to 10,348.79 yesterday, with mainland European counterparts falling around 0.6%-1% and Wall Street indices mixed but close to flat. 

But Asian stocks surged overnight and this morning, including a 5.5% jump for Japan's Nikkei and 3.1% gain for the Hang Seng in Hong Kong, after the conditional ceasefire was agreed just hours before Donald Trump’s 8pm EST deadline, following last-minute mediation by Pakistan.

President Trump said the deal was “subject to the Islamic Republic of Iran agreeing to the COMPLETE, IMMEDIATE, and SAFE OPENING of the Strait of Hormuz”, adding he would “suspend the bombing and attack of Iran for a period of two weeks”.

Iran said its forces will “cease their defensive operations” if attacks stop and that “safe passage through the Strait of Hormuz will be possible” for two weeks under coordination.

Earlier, Trump had issued the crazed warning that "a whole civilization will die tonight", with US bombers reportedly already en route, unless an agreement was made.

He later called it “a big day for world peace” and said "big money will be made" once Iran begins a reconstruction process, while Israel backed the ceasefire but said it would not apply to fighting with Hezbollah.