Oil prices surged as the conflict raised concerns over potential supply disruptions. Brent crude briefly surpassed $90 a barrel before settling around $88, while WTI crude also saw gains. The geopolitical uncertainty bolstered the U.S. dollar's position, with sterling and the euro both falling against the greenback.

The FTSE 100 is set for its biggest weekly decline in three months, with travel and leisure stocks leading the losses due to the Middle East conflict. UK retail sales showed no growth in March, indicating cautious consumer spending.

Yesterday in the US, Netflix's shares dropped after hours as the company forecasted a slowdown in subscriber growth for the second quarter despite strong first-quarter results. 

In UK corporate news, Man Group reported an increase in assets under management despite net outflows, while 888 Holdings saw first-quarter revenue decline but exceed expectations.

Lloyds Bank shares fell after Peel Hunt initiated coverage with a 'hold' recommendation, while NatWest and Barclays were started at 'buy' but also traded lower.

In other news, New York Fed President John Williams stating there is no urgency to cut interest rates. The UK government has decided to avoid implementing most post-Brexit checks on EU food imports to prevent disruption at ports.

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