Crude oil prices retreated in early trading as the outlook for the Strait of Hormuz showed signs of improvement, reducing immediate fears of a supply disruption.
The shift in sentiment around the critical shipping lane provided a counterweight to broader market volatility, with energy flows appearing less threatened than in previous sessions.
The FTSE 100 opened in negative territory, extending a global equity decline that has persisted since Monday.
London's benchmark index faced headwinds from a broad-based sell-off, particularly in the technology sector, as investors digested the mixed signals from geopolitical developments and macroeconomic data.
The improvement in the Hormuz outlook comes after heightened tensions, including threats from the IRGC Navy regarding enforcement against vessels using alternative routes.
The de-escalation in immediate transit risk has helped stabilize freight expectations, though the underlying geopolitical pressure remains a key variable for trade routes.