23rd Jun 2026 09:05
(Alliance News) - Stock prices in London opened lower on Tuesday, after US-Iran talks came to a close in Switzerland.
Vice President JD Vance called the negotiations a "very good foundation" for a final deal to end the conflict, noting on Monday that Washington suspended sanctions on Iranian oil. Also, Washington agreed to release USD12 billion in frozen funds to Iran, Iranian state media reported on Tuesday.
The FTSE 100 index opened down 66.51 points, 0.6%, at 10,371.34.
The FTSE 250 was down 318.09 points, 1.4%, at 22,878.92.
Telecom Plus shares dove 30%, by far the worst faller on the FTSE 250, as the firm posted improved annual profit and revenue, but saw its shares suffer in early trading as it guided lower adjusted earnings in financial 2027 as part of its five-year plan to grow customers and earnings.
Telecom Plus reported GBP113.0 million in pretax profit for the financial year ended March 31, up 6.7% from GBP105.9 million a year prior.
The company sees adjusted pretax profit in financial 2027 in the range of GBP80 million to GBP90 million, down from GBP132.2 million in financial 2026, and reflecting the plan's first year of investment.
The London-based provider of bundled household utility services, under the Utility Warehouse brand in parallel with its annual results, reported a five-year plan to double high-quality, multiservice customers to more than a million by financial 2031 from around 500,000.
The company said the plan necessitates around GBP55 million per year of annual P&L investment. In financial 2031, it expects the plan to deliver adjusted pretax profit of around GBP175 million, with earnings per share growing quicker than total customer growth and return on capital employed above 30%.
The AIM all-share was down 9.54 points, 1.2%, at 784.73.
The Cboe UK 100 was down 0.6% at 1,030.16, the Cboe UK 250 was down 1.2% at 19,574.51, and the Cboe small companies was down 0.4% at 18,214.32.
UK grocery spending was boosted by record temperatures, while grocery price inflation eased slightly in recent weeks, alleviating concerns about further price rises, data showed on Tuesday.
According to data from Worldpanel by Numerator, annual grocery price inflation in the four weeks to June 14 was 3.0%, easing from 3.1% in the month ended May 17.
For the full 12 weeks of the survey to June 14, UK grocery sales rose 1.5% to GBP36.56 billion from GBP36.01 billion a year prior. In the final four weeks, take-home sales increased by 2.4%, in a period which coincided with the UK's hottest May day on record and a ten-day heatwave.
Fraser McKevitt, head of retail & consumer insight at Worldpanel by Numerator, said: "Barbecue staples performing well and shoppers turning to healthier options are a common summer trend, and we can expect to see this continue over the rest of June and into July, with the warm weather forecast to continue."
On the FTSE 100, grocery market leader Tesco rose 0.1%. Its sales in the 12-week period rose 1.6% on-year to GBP10.22 billion, with its market share down marginally to 28.0% from 28.1%.
Also, Tesco has launched the second tranche of its GBP750 million share buyback programme, worth up to GBP200 million, after completing a GBP350 million tranche on June 18.
J Sainsbury rose 0.2%. Its sales rose 2.0% to GBP5.58 billion from GBP5.48 billion, and its share of the market nudged up to 15.3% from 15.2%.
Ocado Retail, an Ocado and Marks & Spencer joint venture, was the fastest-growing. Sales jumped 14% to GBP807 million from GBP711 million, while its market share grew to 2.2% from 2.0%. On the FTSE 250, Ocado shares were down 1.5%.
M&S led the FTSE 100, up 2.0%. The retailer does not fit the definition of grocer per the survey's methodology, although Worldpanel noted its grocery sales shot up 12% over the 12 weeks.
In political news, Andy Burnham could still face hurdles in his path to becoming the UK prime minister, with two potential rivals for the Labour leadership considering their next moves.
The new Makerfield member of parliament, who only returned to the Commons on Monday, could be in Downing Street within weeks if a challenger does not emerge.
But cabinet minister Darren Jones and former armed forces minister Al Carns are being considered as potential candidates by Labour MPs wary about installing Burnham in No 10 without a contest.
The yield on UK 10-year gilts remained unchanged from Monday's close, at 4.81%.
Swissquote's Ipek Ozkardeskaya noted that "the composition of the new cabinet will keep gilt traders busy in the coming months. The government's room for manoeuvre is extremely narrow and bondholders' patience increasingly thin.
"Whoever takes office must ensure that prosperity comes from stronger productivity and growth rather than more spending financed by unsustainable debt," she continued, adding: "Good luck, Andy."
Meanwhile, in Switzerland, technical talks that followed higher-level negotiations have concluded, with working groups to be set up on nuclear issues and sanctions, Iran's state media reported Tuesday.
US President Donald Trump has demanded an unconditional reopening of the Strait of Hormuz to maritime traffic, but Tehran has insisted it will maintain control.
"The Strait of Hormuz will never return to its pre-war conditions and will be administered by the Islamic Republic of Iran, in accordance with international law," Iran's chief negotiator Mohammad Bagher Ghalibaf said, state media reported Tuesday.
The Strait of Hormuz had reopened last week, after Washington and Tehran reached an agreement, but Tehran announced on Saturday it had closed it again in response to Israeli attacks in Lebanon.
The pound was quoted at USD1.3235 early Tuesday, down from USD1.3254 on Monday. Against the euro, sterling fell to EUR1.1580 from EUR1.1587 a day prior. The euro stood at USD1.1426, against USD1.1440. Against the yen, the dollar was trading at JPY161.51, down from JPY161.41.
In European equities on Tuesday, the CAC 40 in Paris was down 0.3%, while the DAX 40 in Frankfurt was down 1.3%.
In Asia on Tuesday, the Nikkei 225 index in Tokyo was down 3.6%. In China, the Shanghai Composite was down 1.4%, while the Hang Seng index in Hong Kong was down 1.7%. The S&P/ASX 200 in Sydney was down 0.3%.
In the US on Monday, Wall Street ended mixed, with the Dow Jones Industrial Average up 0.3%, the S&P 500 down 0.4% and the Nasdaq Composite down 1.3%.
The yield on the US 10-year Treasury was quoted at 4.48%, narrowing from 4.51% late on Monday. The yield on the US 30-year Treasury was quoted at 4.93%, narrowing from 4.95%.
Brent oil was quoted lower at USD76.73 a barrel early in London on Tuesday from USD77.38 late Monday.
Gold was quoted lower at USD4,115.20 an ounce against USD4,184.04.
Gold miners were among the FTSE 100's worst performers, with Antofagasta down 5.6%, Fresnillo down 4.7% and Anglo American down 4.5%.
Still to come on Tuesday's economic calendar are the UK and US flash PMI releases, and ADP jobs data.
By Emma Curzon, Alliance News reporter
Comments and questions to [email protected]
Copyright 2026 Alliance News Ltd. All Rights Reserved.
Related Shares:
TescoSainsbury'sMarks & SpencerOcadoAntofagastaFresnilloAnglo AmericanTelecom Plus