By Caitlin McCabe

The U.K.'s FTSE 100 topped 10000 for the first time on Friday, building on a 2025 rally in which the index posted its best performance in 16 years.

Mining and defense stocks helped the index briefly hit five figures, extending a theme that fueled the gauge last year. Shares of Fresnillo, Endeavour Mining and Rolls-Royce more than doubled in 2025. The FTSE 100 rose almost 22% for the year, outpacing the Nasdaq composite, the top performer among the biggest U.S. indexes.

The FTSE 100 rally is notable given it lacks the flashy artificial-intelligence stocks that have driven big gains in the U.S. and Asia.

Instead, it is filled with old-economy stocks: banks, miners, defense and healthcare companies, all of which also performed well last year. Analysts note FTSE 100 stocks also benefited from being relatively cheap.

The gauge outperformed "thanks to its diverse range of industries offering a tonic to investors who started to get the jitters about tech stocks," said Dan Coatsworth, head of markets at AJ Bell.

He added that the index also benefited from a fierce rally in precious metals, as well as growing commitments from European countries on defense spending.

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(END) Dow Jones Newswires

January 02, 2026 06:41 ET (11:41 GMT)

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