FTSE 100 Rises as Oil Prices Ease, UK Inflation Hits 5-Month High

The FTSE 100 Index rose on Wednesday, September 16, 2026, as oil prices eased after recent surges. The index increased by 29.82 points or 0.28%, reaching 10,687.95, despite starting the day at 10,658.22.

The rise in the FTSE 100 was partly due to the decline in oil prices, which had been a major factor in the previous session's losses. According to Reuters, Brent crude prices fell by about 0.6% on Wednesday, following Saudi Arabia's offer to increase crude oil supplies and higher-than-expected US crude oil inventories.

However, UK inflation rose to 3.1% in August 2026, exceeding the Bank of England's 2% target. The rise was largely driven by increased costs of petrol, diesel, and airfares, as well as higher crude oil prices.

The upcoming Federal Reserve decision will also be closely watched by investors, with a likely interest rate hike priced in at over 92.5%. A 25-basis-point increase is expected, which could negatively affect equities due to increased interest rates reducing the competitiveness of stocks compared to bonds.