Major FTSE record as much about companies not in the index as the ones that are

Passing the 10,000-point obstruction is simply a mostly symbolic milestone for the FTSE 100, but it underlines an upward inclination for the scale of the UK's largest companies and offers immoderate cautious optimism for the twelvemonth ahead.

Founded successful 1984 with an scale worth of 1,000, past twelvemonth was the FTSE's best since 2009, rising 21.5% contempt gloomy prognostications astir the aboriginal of London arsenic a trading centre successful the shadiness of mighty tech-driven American markets.

The FTSE 100 has defied those forecasts acknowledgment to a operation of the companies it represents and those it omits.

London remains location to a steadfast blend of large players successful sectors that person thrived successful caller months: banking, mining, defence, lipid and gas, on with pharmaceuticals and user brands.

What it does not see is immoderate tech giants, and with concerns implicit the stratospheric valuations assigned to US megascalers driving the AI boom, the FTSE offers a means of diversifying portfolios and hedging hazard should the bubble burst.

Defence stocks led by Rolls-Royce person benefitted from the committedness to greater European defence spending, portion mining has been boosted by the unreserved to golden arsenic a harmless haven and a rally successful silver, a important worldly successful electrification technologies.

Precious metallic miner Fresnillo was the champion performer connected the FTSE 100 successful 2025, up much than 360%.

Banks and fiscal services, meanwhile, were grateful for the lack of tax-raising measures successful the past budget, crowning a twelvemonth that saw Lloyds up 80%, Standard Chartered and Prudential much than 70% and Barclays much than 60%.

Pharmaceutical giants AstraZeneca and GSK person held their own, too, contempt neither having a GLP-1 value nonaccomplishment cause successful the market, helped by the caller UK-US pharmaceuticals woody that volition spot NHS drugs spending increase.

Cause for optimism - but not truthful rosy successful the UK

If these buoyant valuations consciousness astatine likelihood with the gloom that pervades successful the existent economy, it's worthy remembering that portion they whitethorn beryllium listed successful the UK, FTSE 100 constituents similar HSBC, Anglo American, BAE Systems, Shell, Unilever and AstraZeneca are planetary players that make the bulk of their gross overseas.

The FTSE 250, an scale of the adjacent largest tranche of British companies with greater vulnerability to UK trends, was up conscionable 9% successful 2025.

But a buoyant commencement to the trading twelvemonth aft a rewarding 2025 for investors successful London does springiness origin for optimism.

All banal marketplace speculation is successful portion a stake connected the aboriginal and, with ostentation and involvement rates falling and forecast to proceed successful 2026, a wager connected amended vibes mightiness beryllium rewarded.