Stocks Climb as Oil Prices Fall: Brent Drops to $89.66
European shares rose and Brent crude fell nearly 3% to $89.66 a barrel on Tuesday, its lowest since August 31, after President Donald Trump said the war on Iran is "effectively over". Investors now wait for US inflation data due at 1.30pm GMT.
Stocks climbed and oil prices fell on Tuesday, November 10, 2026, with Brent crude down nearly 3% to $89.66 a barrel, its lowest level since August 31. Markets took heart after US President Donald Trump said the war on Iran is "effectively over".
Brent is the global oil benchmark. Tuesday's drop followed a near 6% fall on Monday, as signs grew that the conflict might be nearing an end.
European markets near record
Europe's benchmark Stoxx 600 index gained 0.9% to 662.54. It is hovering near the record high it reached in early August, when investors hoped for a peace deal in the Middle East.
Airline shares rose on hopes that calmer tensions could bring lower fuel costs. Lufthansa gained 1.8% and Air France-KLM rose 1.2%.
In London, the FTSE 100 climbed 45 points, or 0.4%, to 10,828. Oil majors BP and Shell were the biggest losers on the index, down 1.7% and 1.5% respectively, as the lower crude price weighed on them.
What Trump said
Speaking at a White House press conference, Trump said Israel and Gulf allies in the region were well protected from Iran. He said an escalation was not needed.
"At this point, taking the military action doesn't seem to be a very necessary thing – but we're locked and loaded, ready to go for any reason," he told reporters.
Inflation data in focus
The next test for markets is the latest US inflation figures for October, due at 1.30pm GMT. Daniela Hathorn, a senior market analyst at trading platform Capital.com, said global markets were extending their recovery after a strong, broad-based session on Wall Street.
She linked that session to a sharp decline in oil prices and renewed buying of technology stocks. But she said the US Federal Reserve will want more evidence that inflation is slowing.
"Lower energy prices could help ease inflation expectations, but the Fed will need evidence of broader disinflation before reconsidering its policy stance," Hathorn said. She added that the "underlying macroeconomic and corporate risks remain unresolved".
Technology valuations, she said, are still sensitive to yields, the return investors demand on government bonds. "Another inflation surprise could quickly bring volatility back into focus," she said.
Relief at the pump
Drivers will hope cheaper wholesale oil keeps feeding through to forecourt prices. The AA, the UK motoring organization, said on Monday that the average UK petrol price has fallen 5p a litre since early October, to 169.7p a litre.
The AA said wholesale markets indicate another 10p reduction should be on the way.
