- Oil prices moved higher on Tuesday due to investor caution ahead of a deadline for Iran to agree to reopen the Strait of Hormuz.
- President Trump threatened a major attack on Iranian infrastructure if a ceasefire deal is not reached by 1 am UK time on Wednesday.
- Brent crude oil increased by around 1.5% to 111.4 US dollars a barrel, now 53% higher than before the conflict, leading to sharp increases in petrol and diesel costs.
- Global financial markets were tentative, with the FTSE 100 opening higher before falling, the German Dax down, and the French Cac 40 up in early trading.
- Traders remain hopeful for a diplomatic breakthrough, but little headway has been made in recent peace talks, creating a 'binary event' for investors.
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