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FTSE 100 set to open higher as borrowing costs and oil prices ease

The FTSE 100 is projected to open higher today, following a 0.7 per cent rise on Thursday. This comes as government bond markets show signs of calm and oil prices moderate.

  • The FTSE 100 closed at 10,831 on Thursday, up 0.7 per cent.
  • Borrowing costs eased on Thursday, with the 10-year gilt yield dropping to 5.16 per cent.
  • Brent crude oil prices ended Thursday approximately 0.1 per cent higher at $95 per barrel.

The FTSE 100, the UK's blue-chip index, is anticipated to open higher today, Friday 4 September 2026, according to futures from investment platform IG. This follows a 0.7 per cent increase on Thursday, with the index closing at 10,831.

The expected rise comes as borrowing costs eased on Thursday night. The yield on 10-year gilts dropped to 5.16 per cent from 5.24 per cent on Wednesday, while the 30-year gilt yield decreased to 5.80 per cent from 5.87 per cent. Wall Street also saw a response to falling borrowing costs, with the US 10-year Treasury yield narrowing to 4.75 per cent from 4.79 per cent.

Oil prices finished Thursday broadly flat, with Brent crude ending the day around 0.1 per cent higher at $95 per barrel. AJ Bell investment director Russ Mould noted that a "measure of calm in government bond markets and a slight moderation in oil prices helped steady markets."

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