The FTSE 100 has crossed the 10,000-point mark for the first time in its history, reaching a new milestone at the start of 2026 and crowning a strong year for the UK stock market. The index briefly climbed above the threshold in early trading before easing slightly, confirming the psychological barrier had finally been broken.
This reflects a powerful rally over the past 12 months, with the FTSE 100 gaining more than 20% during 2025. Gains were led by heavyweight stocks including Rolls-Royce, Melrose and Fresnillo, while defence, energy and mining firms also delivered strong performances amid shifting global investment flows.
London's rally came as global markets benefited from expectations of interest rate cuts, resilient economic growth and continued enthusiasm around artificial intelligence. Uncertainty created earlier in the year by US trade tensions pushed some investors to diversify away from Wall Street and into comparatively undervalued markets such as the UK.
The milestone carries symbolic weight for a benchmark launched in 1984 at 1,000 points and long viewed as a slower-moving alternative to US indices. Its international exposure, with many constituents generating revenues overseas, has helped shield it from domestic economic pressures.
The FTSE's surge also boosted broader European markets, with the Stoxx 600 hitting record levels alongside strength in commodities and defence stocks, underlining renewed confidence in UK equities after years of underperformance.
What is the FTSE 100?:
The FTSE 100 is the UK's main stock market index, tracking the share price performance of the 100 largest companies listed on the London Stock Exchange by market capitalisation. Created in 1984 with a starting value of 1,000 points, it is widely seen as a barometer of the health of the British stock market and, due to the international nature of many of its constituents, a partial reflection of global economic trends.