London's premier stock index, the FTSE 100, has achieved a historic milestone, surging past the 10,000-point mark for the very first time. This landmark moment followed a powerful rally as traders returned to their desks after the New Year's Day bank holiday.
A Record-Breaking Start to 2026
On Friday, 2 January 2026, the blue-chip index reached a new all-time intraday trading high, climbing more than 1% in early trading. Although it pulled back slightly after the first hour, it firmly held above the symbolic 10,000-point threshold. This breakthrough caps an extraordinary period of growth for the index of Britain's 100 largest publicly listed companies.
The FTSE 100 enjoyed its strongest annual performance since 2009 in 2025, soaring by 21.5% over the course of the year. It closed 2025 at 9,931.38, having repeatedly shattered previous record highs and outperforming major peers like France's Cac 40 and the US S&P 500.
Defence and Mining Stocks Lead the Charge
The charge past 10,000 was spearheaded by several key sectors. Engine-maker Rolls-Royce emerged as the top blue-chip riser with a 3% gain, continuing a remarkable run that saw its share price roughly double in 2025. It was closely followed by fellow defence giants Babcock International and BAE Systems, which both rose just under 3%.
The defence sector's stellar gains have been fuelled by rising global geopolitical tensions. Meanwhile, precious metal miners also powered the index higher. Fresnillo, whose share price rocketed about five-fold in 2025, was a standout performer. Gold miner Endeavor Mining also saw its shares nearly triple last year.
In other significant moves, oil giant BP lifted 2% as it continued to gain ground following the announcement that Meg O'Neill will become its new chief executive in April, replacing Murray Auchincloss.
Resilience Amid Economic Uncertainty
Analysts highlight that the FTSE 100's success story is one of remarkable resilience. Investors have been drawn to the steady gains and relative safety of its constituent stocks despite turbulence in global financial markets, ongoing political uncertainty, and a lacklustre performance from the wider UK economy.
Dan Coatsworth, head of markets at AJ Bell, hailed the moment as historic. "This is a historic moment and already makes 2026 one of the most significant years for the blue-chip index since its launch in 1984," he said.
Coatsworth added that breaking the 10,000 level was "the best new year's present Chancellor Rachel Reeves could want," noting it proves the UK market is dynamic and that "the US stock market is not the only place to make money."
The achievement underscores a strong start to the year, even in thin trading volumes, and signals continued investor confidence in the UK's largest companies as pillars of stability and growth.
