FTSE 100 Ends 2025 on a High Note with Record Gains

The UK's FTSE 100 index concluded 2025 near record highs, achieving its strongest annual performance in 16 years despite a shortened trading session. This success was driven by expected Bank of England rate cuts, strength in financials and miners, and its appeal as a diversifier amid global volatility.

The UK's FTSE 100 index wrapped up the final stretch of 2025 lingering near record highs, marking its strongest annual performance in 16 years. Thursday's trading was subdued as markets prepared to close early ahead of the New Year festivities.

The blue-chip FTSE 100 remained steady by 0902 GMT, having closed at a record level the previous day. Meanwhile, the midcap index dipped slightly by 0.3%. Markets are expected to wind down at noon, as investors look towards 2025 with optimism.

Following years of underperformance, Britain's blue-chip index outpaced major global markets, buoyed by expectations of more Bank of England rate cuts, resilient financials, and miners' strength. This year, the index surged over 21%, displaying its best performance since 2009, compared to the 16.6% rise in the STOXX 600 and 17.2% in the U.S. S&P 500. The FTSE 100 found support from resource-heavy sectors and performances by miners Fresnillo, Endeavour Mining, and Antofagasta, riding the wave of rising gold, silver, and copper prices.

(With inputs from agencies.)