The FTSE 100 index hit the 10,000 mark for the first time on 2 January 2026, crossing the milestone during early London trading as UK equities began the new year on a strong footing. The benchmark index moved above the level after a year of sustained gains, marking a symbolic moment for a market that has often lagged behind major global peers. The move followed a rally that saw the index rise by around twenty two per cent over 2025, its strongest annual performance in more than a decade. The milestone came as global equity markets opened 2026 with broad optimism. European shares advanced in early trading, supported by positive sentiment around economic resilience in the United States and easing concerns over monetary policy tightening. Investors returning after the holiday period pushed several major indices higher, with London benefiting from strong performances in heavyweight sectors. Mining and energy stocks were among the leading contributors to the FTSE 100’s rise. Companies linked to commodities gained as prices for key resources remained elevated, reflecting continued demand and supply constraints in parts of the global market. The index’s heavy exposure to resource firms helped amplify gains compared with markets more concentrated in technology stocks. Defence companies also added to the upward momentum. Increased government spending commitments and ongoing geopolitical tensions have supported share prices in the sector over the past year. These stocks featured prominently in the index’s advance, reinforcing the role of defence as a driver of recent market performance in London. Financial stocks provided further support as banks and insurers rose in early trading. Expectations that interest rates would remain higher for longer than previously anticipated have underpinned earnings prospects for lenders. The strength of the financial sector, which makes up a substantial portion of the FTSE 100, played a central role in pushing the index beyond the 10,000 threshold. The FTSE 100’s structure has shaped its path to the milestone. Unlike US benchmarks that are heavily weighted towards large technology companies, the London index is dominated by multinational firms in energy, mining, pharmaceuticals and finance. This composition has benefited the FTSE during periods when value oriented and dividend paying stocks have outperformed growth focused sectors. The index’s rise also reflects the international nature of its constituents. Many FTSE 100 companies earn the majority of their revenues overseas, meaning currency movements have a significant impact on performance. The relative weakness of sterling over recent years has boosted the value of foreign earnings when translated back into pounds, supporting share prices. While the 10,000 mark carries symbolic weight, it follows a series of record highs reached by the index over the past year. Investors have steadily pushed the benchmark upward as concerns about recession eased and corporate balance sheets remained resilient. The pace of gains has contrasted with earlier periods when UK equities struggled to attract global capital. Mid sized companies did not match the same momentum. The FTSE 250 index also rose at the start of 2026 but remained below its own previous highs, highlighting the divergence between internationally focused blue chip firms and more domestically exposed businesses. The gap has persisted as the UK economy continues to adjust to higher borrowing costs and slower growth. The FTSE 100 was launched in 1984 with a base value of 1,000 points, making the move to 10,000 a tenfold increase over more than four decades. The journey has included periods of rapid growth, sharp downturns and long stretches of stagnation. Reaching the milestone places the index among a small group of global benchmarks to cross such a level. Attention is now turning to whether the gains can be sustained. Market participants are watching central bank decisions, commodity prices and geopolitical developments for signals on the direction of equities in the months ahead. For now, the FTSE 100’s move past 10,000 marks a notable moment for the London market as it enters 2026....