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The FTSE 100, which is known for its significant exposure to commodity-related companies, experienced a mixed performance on Monday reversing early gains to trade down 0.12% on the session. The initial increase in the index's value was driven by a notable surge in oil prices, which climbed more than 2% on the day. The jump in oil prices was attributed to the ongoing military clashes between Israeli and Hamas forces. Geopolitical events and conflicts in oil-producing regions can lead to concerns about potential disruptions in the global oil supply, which in turn drives up oil prices. The FTSE 100, being a reflection of the performance of many large British companies, includes several energy and commodity-related firms. Therefore, when commodity prices, such as oil, experience significant movements, it can have a direct impact on the index's performance. In this case, the rise in oil prices contributed to the FTSE 100's positive uptick in early trade with BP and Shell vying for the top spot on the index gaining 3.18% and 3.12% respectively. Sitting at the top of the blue chip index today is BAE Systems, a major defence and aerospace company, BA shares experienced a significant increase in its stock price, with shares rising by more than 5%. This notable uptick in the company's stock came in the wake of recent developments in the Israel-Palestine conflict and their potential implications for defence contracts. The surge in BAE Systems' stock price followed an announcement regarding a substantial submarine contract made in the previous week of 3.95 billion GBP. 

On the negative side of the ledger sits International Airlines Group shedding over 5% on the session, the losses come amidst reports British Airways-owner International Airlines Group is reportedly engaged in discussions with Boeing and Airbus regarding a potential order for widebody aircraft. This information was reported by Bloomberg News, citing sources familiar with the matter. Widebody aircraft are typically larger, long-haul planes designed for intercontinental flights. Airlines often order these aircraft to expand their fleets, replace older planes, or meet growing demand for long-distance travel.

FTSE Bias: Bullish Above Bearish below 7455

• Below 7370 opens 7320
• Primary support is 7370
• Primary objective 7858
• 20 Day VWAP bullish, 5 Day VWAP bearish

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