# Oil prices nudge higher amid caution ahead of Trump’s Iran deadline

By Dan Coatsworth — 2026-04-07

Dan Coatsworth, head of markets at AJ Bell, said: “Markets were steady with investors largely non-committal as they await the apparent cliff-edge deadline imposed by the Trump administration.

“President Trump’s threats of widespread strikes on Iran if the Strait of Hormuz is not reopened by the early hours of tomorrow morning UK time, if taken at face value, create the conditions for a binary set of outcomes.

“Either there is a climbdown on the part of Washington or Tehran, which could prompt a major rally in equities and easing of energy prices, or a major escalation with all the implications that might have for financial markets.

“An alternative scenario is that the deadline is extended, and the markets face another uneasy period of trying to gauge the latest mood music in the US and Iran.

“In London, BP and Shell were higher as oil prices ticked over the $110 per barrel mark.

“While stocks tell their own story, it is striking how far energy markets are from pricing in a dampening down in Middle East tensions.

“The FTSE 100’s precious metals mining contingent was on the back foot as gold retreated on continued strength in the dollar and the potential for interest rate hikes, factors which have outweighed any safe-haven attractions during the current crisis.”

Canonical: https://experts.pressassociation.com/expert/8/views/3f59a1a1f7630169