The FTSE 100 edged slightly higher on Tuesday in a volatile session, supported by softer US inflation data and President Donald Trump’s decision to drop plans for a fee on cargo passing through the Strait of Hormuz. US annual inflation slowed to 3.5% in June from 4.2% in May, below expectations of 3.8%, prompting investors to reduce bets on further Federal Reserve tightening. Market sentiment also improved after Trump replaced his proposed 20% transit fee with investment agreements from Gulf states, saying the revenue would instead come through future US investments. Energy and financial stocks led gains, with Shell up 0.9% and BP adding 1.6%. HSBC rose 1.7%, Lloyds Banking gained 1%, and Standard Chartered advanced 1.6%. Mining stocks also performed strongly, with Rio Tinto up 3% and Glencore rising 3.2%. On the downside, AstraZeneca fell more than 1.5%, GSK declined nearly 2%, while Unilever and Rolls Royce slipped around 0.6%.