Footsie on cusp of 10,000 landmark as savers and traders pin their hopes on ‘a fairytale ending’ to the yr

Savers and investors are pinning their hopes on ‘a fairytale ending’ to the year after the FTSE 100 raced to a record high and within touching distance of the 10,000 mark.

On an upbeat penultimate session of 2025, the blue-chip index rose to an all-time intra-day high of 9,954 before finishing the day up 0.75 per cent, or 74.18 points, at 9,940.71.

That was a record close and left the Footsie within sight of reaching 10,000 points for the first time – with millions of households with money tied up in the market hoping that milestone could be hit today.

The FTSE 100 is up more than 20 per cent in 2025 – putting it on course for its best year since 2009 and outstripping the 14 per cent gain on the Dow Jones Industrial Average and 18 per cent rise on the S&P 500. 

The tech-focussed Nasdaq has fared better, however, rising almost 22 per cent. In Europe, the Cac 40 is up 10 per cent in Paris while the Dax has risen more than 22 per cent in Frankfurt.

Danni Hewson, head of financial analysis at AJ Bell, said: ‘Could there be a fairytale ending to the year for London’s blue-chip index? 

Rally: On an upbeat penultimate session of 2025, the blue-chip index rose to an all-time intra-day high of 9954 before finishing the day up 0.75% at 9940.71

The FTSE 100 ended the day at 9,940 – another fresh record high and tantalisingly close to that 10,000 mark which, at the start of the year,

seemed inconceivable.’ The stock market rally has been a boon for savers with shares through their pensions, ISAs and other investments.

And it follows a sharp sell-off in April this year when Donald Trump’s so-called ‘Liberation Day’ tariffs – dubbed ‘obliteration day’ on City trading floors – sent financial markets spiralling lower.

The Footsie is up nearly 30 per cent from its April lows with gold and silver miner Fresnillo the best performing blue-chip stock of the year, having risen more than five-fold on the back of soaring precious metal prices. 

Gold and silver have hit new highs in recent days as investors worried about the state of the world plough into what are seen as ‘safe-haven’ assets.

Defence stocks have also performed well as Europe races to rearm while banks are among the winners, too, after interest rates stayed higher than expected.

The rally comes in the face of warnings a stock market bubble – driven by sky-high valuations among US tech firms amid excitement over AI – is about to burst.

Hewson warned the world continues to be ‘beset with geopolitical turmoil and fears of an AI bubble’. 

But she added: ‘After that Liberation Day dip which now feels so long ago, European markets have delivered a strong annual performance and today’s surge should help maintain that momentum into the new year.’