The FTSE 100 continues to make new highs and shatter its own previous records in the process. In the last 5 years, the index has been up by 66%.
Now, that's quite a feat for the FTSE 100, and we are not even accounting for all the generous dividends. But, now everyone is asking about where the FTSE 100 is heading next...
According to one expert, the FTSE 100 can easily cross the 10,000 level by the end of 2025. In fact, it wouldn't even require too much effort for the index to achieve that feat.
Also, the funds will move away from the US markets if there are concerns about economic uncertainty & weaker earnings remain in effect. And when that happens, the ideal place for that money will be in the UK market.
If the FTSE 100 manages to cross that level, then the one stock that will be worth looking at is Tesco (TSCO). It's the largest supermarket in the UK and has a history of outperforming the FTSE 100 index.
So, when the next wave of growth comes in the FTSE 100 index, the one stock at the forefront will be Tesco.
However, it's worth noting that the economic slowdown in the China and US markets will also affect the FTSE 100. The FTSE 100 might look strong, but it's already struggling with domestic matters.
Also, the bond yields are already above the 2022 levels, and the government is already talking about tax hikes. So, another scenario is that the FTSE 100 turns bearish and moves towards the 8000 level.
But given the current circumstances of the UK and the rest of the world, the chances of a bullish FTSE 100 are very high. At the same time, we also can't totally ignore the bearish forecasts, as the chances are slim but not zero.
However, if the FTSE 100 starts the next year at the 10,000 level, then the next target for the bulls will be around 12,000.