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Stock prices in London were mostly higher on Thursday midday ahead of US personal consumption expenditures data, the Federal Reserve’s preferred measure of inflation, while GDP data will also be out; meanwhile the price of Brent oil dropped to levels last seen before the US-Iran war. US Secretary of State Marco Rubio on Thursday warned that Iranian tolls on ships passing the waterway would spread to other waterways, risking ‘total chaos’. ‘If in fact we accepted that you can charge money to use an international waterway...this will spread throughout the world like a contagion,’ he told a Gulf Cooperation Council meeting in Bahrain. Rubio, on his first regional tour since the US and Iran signed a memorandum of understanding to end the Middle East war, said the US wants a peace deal but not ‘at any price’. Oman’s top diplomat said no transit fees would be imposed in the Strait of Hormuz. Badr Albusaidi said ‘future arrangements regarding the Strait do not entail the imposition of any transit fees,’ during the meeting of Gulf foreign ministers in the Bahraini capital Manama with Rubio. The FTSE 100 index was up 34.35 points, 0.3%, at 10,495.98. The FTSE 250 was up 142.49 points, 0.6%, at 23,244.01, and the AIM all-share was down 2.13 points, 0.3%, at 775.24. The Cboe UK 100 was up 0.3% at 1,041.07, the Cboe UK 250 was 0.6% at 19,934.41, and the Cboe small companies was up 0.1% at 18,067.50. 3i Group continued to lead the FTSE 100, up 9.7% after reporting positive trading from portfolio company Action. On the FTSE 250, easyJet was up 6.9%. The Luton-based airline has rejected a fourth bid from Minneapolis-based asset manager Castlelake, which was worth 650 pence per share and valued easyJet at £4.93 billion, although it said it was willing to allow Castlelake access to limited commercial information in order to produce a proposal that better reflects its value. In response, Castlelake said it welcomes easyJet’s ‘constructive engagement’, noting that the airline also announced a nine-day extension to the ‘put-up or shut-up’ deadline to July 5. Serco was down 3.4% after reporting a ‘resilient’ first-half performance. The Hampshire, England-based government services outsourcing provider expects revenue for the first six months of 2026 to be around £2.5 billion, up 3% from £2.42 billion a year earlier, including organic growth of around 1%. Underlying operating profit is expected to be around £155 million, up 6.2% from £146 million. The company maintained its guidance for full-year revenue of around £5.0 billion, up from £4.87 billion in 2025, including organic growth of about 3%. It also confirmed its guidance of underlying operating profit of around £300 million, up from £272 million. On AIM, Ingenta fell 19%. The provider of software and services to the publishing and media industries said it expects increased revenue for 2026, thanks to new business wins exceeding £2 million. However, it also expects earnings before interest, tax, depreciation and amortisation to be ‘a little lower’ on an annual basis. Additionally, some larger customers have requested to move to longer-term contracts, which ‘introduces a greater risk level to 2027 revenues and beyond,’ it said. Advanced Medical Solutions rose 16% after announcing its agreement to an all-cash takeover offer from Minnesota-based adhesives manufacturer HB Fuller. The offer of 285 pence per share in cash values the equity of AIM-listed AMS at £659 million and gives an enterprise value, including debt, of £715 million. Meanwhile, in UK news, the Society of Motor Manufacturers & Traders posted a 2.7% increase in UK vehicle production to 51,178 units in May, representing the first monthly increase so far this year. On an annual basis, vehicle production was 2.8% ahead of the level reported in May 2025. Car production alone rose 3.2% to 49,249 units, improving after four successive months of decline, though commercial vehicle production decreased by 7.6% in May to 1,929 units. The pound was quoted higher at $1.3172 midday Thursday, compared to $1.3167 on Wednesday. Against the euro, sterling rose to €1.1598 from €1.1591 a day prior. The euro stood lower at $1.1352, against $1.1358. Against the yen, the dollar was trading higher at JP¥161.82 compared to JP¥161.76. In European equities on Thursday, the CAC 40 in Paris was up 0.3%, while the DAX 40 in Frankfurt was up 0.7%. EU states gave their final approval Thursday to a year-old tariff deal with the US, allowing it to enter into force ahead of a July 4 deadline set by President Donald Trump. Struck between Trump and EU chief Ursula von der Leyen in July 2025, the deal sets levies of 15% on most of the EU’s exports to the US, and zero tariffs for US industrial goods coming into the 27-nation bloc. Lawmakers added a series of safeguards, including giving the European Commission power to suspend the pact if the US side fails to meet its commitments or acts to disrupt trade and investment. Parliament also introduced an expiration date of end-2029, unless the agreement is renewed by then. Also on Thursday, the EU said the cloud services of Amazon.com and Microsoft should face tougher digital competition rules in Europe because of their dominant position in the sector. Amazon Web Services and Microsoft’s Azure are the largest and second-largest cloud computing services in the EU respectively. They ‘will only continue to grow in importance, which is why it is essential that we ensure a well-functioning and competitive market’, EU antitrust commissioner Teresa Ribera said. Amazon was called down 0.2% in New York, while Microsoft was called marginally lower. Stocks in New York were called higher. The Dow Jones Industrial Average was called up 0.3%, the S&P 500 index up 0.8%, and the Nasdaq Composite up 2.2%. The yield on the US 10-year Treasury was quoted unchanged at 4.41%. The yield on the US 30-year Treasury was quoted unchanged at 4.86%. Brent oil was quoted lower at $72.63 a barrel at midday in London on Thursday from $73.45 late Wednesday. Oil prices have dropped to levels last seen before the war in the Middle East as the crucial Strait of Hormuz reopens gradually following the US-Iran peace deal. Brent crude fell back to below $73 a barrel for the first time since the Iran war started on February 28. Gold was quoted lower at $3,985.51 an ounce against $4,014.40. Still to come on Thursday’s economic calendar, the US has GDP, personal consumption expenditures, jobless claims, durable goods orders, and natural gas stocks. 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