FTSE100 hits 10,000 - now be careful and do not get sucked in!

Mark Watson-Mitchell - 02.02.2026

This morning, the FTSE100 Index broke convincingly through the 'magical' 10,000 level, rising to 10,046.25, before easing back to the current 9,980.76 on the back of some profit-taking.

The FTSE's rise has shown that the performance of the Dow Jones Index has been somewhat laggardly, with suggestions that US players are confused over Trump's recent international moves.

Undoubtedly, our market has the 'taste' currently and expectations are that it will soon be trading above the 10,000 level, possibly into the 10,250 region very soon.

Delighted as I am to see such positivity, I suggest that investors must pull back from buying into overstretched valuations - instead

they should be amassing undervalued stocks, of which there are a considerable number within the UK Small Caps Sector.