FTSE 100 Closes 2025 at Record High Driven by Diverse Sectors
The FTSE 100 ended 2025 at a record closing level of 9,940, following an intraday peak of 9,954. Over the year, the index posted a gain of more than 21%, marking its best performance since 2009.
This rally was primarily fueled by strong performances from mining stocks, precious metals producers, defence companies, and banks. Notably, gold prices rose while the US dollar weakened, contributing to the gains.
London equities outperformed Wall Street, with the S&P 500 rising about 17% for the year. The FTSE 100 benefited from its global mix and diversification, enabling it to withstand pressures faced by more domestically focused peers amidst ongoing geopolitical tensions and persistent concerns related to artificial intelligence.
Market watchers have noted speculation about potential further US interest rate cuts, with upcoming Federal Reserve minutes expected to provide additional insights.
An earlier setback in the year, termed the Liberation Day dip, was a temporary interruption before the upward momentum resumed. On the calendar, London trading was scheduled to close early at 12:30pm GMT, with US weekly jobless claims data due at 1:30pm GMT.