Investors relieved by news of two-week ceasefire and temporary reopening of strait of Hormuz

And we’re off. The FTSE 100 index has jumped 273 points, or 2.6%, to 10624 in early trading.

There are only three fallers: oil companies BP and Shell, down by 8.3% and 7.3% respectively, and British Gas owner Centrica, down 3.5%.

Interest rate expectations have shifted dramatically.

Markets are now pricing in one interest rate hike from the Bank of England this year, probably by September.