As it happened: FTSE 100 rallies as oil falls back after Trump’s Iran war pledge

Welcome back to the City AM liveblog.

Donald Trump has said the US has engaged in “productive discussions” with Iran and would refrain from attacking the country before the midterm elections, bringing relief to the oil market.

It’s taken the price of Brent crude back slightly, though it has remained around $103 per barrel after surging as much as 5.7 per cent on Thursday after Tehran intensified attacks on tankers navigating the Strait of Hormuz.

This has also kept the pressure on the bond market with gilt yields climbing again in a blow to the government’s borrowing cost and Treasury’s fiscal headroom.

Stick with us throughout the day for the latest news from the London Stock Exchange and the wider business world, as soon as we get it.

Here’s a few of our top headlines this morning:

• Businesses could face flood of ‘trivial’ compensation claims over GDPR worries
• EY global revenue hits $57bn as AI demand fuels Big Four giant’s growth
• FCA eyes 90-day redemption rule on illiquid funds to end mass withdrawals
• Bailey: Governments must help control inflation too
• Badenoch’s inheritance tax gamble