Europe bulletin: FTSE 100 breaks 10,000, manufacturing slump deepens, Tesla sales split

European markets enter 2026 at a crossroads, marked by symbolic highs, regulatory assertiveness, and uneven economic momentum.Britain’s benchmark index has broken new ground, underscoring renewed confidence in large-cap equities, while regulators strengthen transparency powers with potential market implications.On the continent, manufacturing conditions continue to deteriorate, contrasting with sharply divergent trends in the electric vehicle sector.Together, these developments highlight a region balancing optimism, structural pressures, and sector-specific volatility.UK’s FTSE 100 breaks through 10,000 barrierThe FTSE 100 has crossed the 10,000 mark for the first time, marking a significant symbolic victory for Britain’s blue-chip index.The milestone reflects growing investor optimism around UK equities and broader market sentiment heading into 2026.Banking stocks and energy firms, traditional heavyweight constituents, have driven much of the gains.The climb underscores recovery momentum in the London exchange despite persistent macro headwinds globally.Analysts note this breakthrough signals renewed confidence in large-cap UK corporates.The index’s trajectory will hinge on interest rate expectations, corporate earnings strength, and geopolitical stability in the coming quarters.UK regulator wins right to name company in investigationA UK regulator has secured a court victory granting it permission to publicly identify a company at the center of an ongoing investigation.The ruling pushes back against corporate secrecy arguments and reinforces regulators’ ability to maintain transparency during enforcement proceedings.This decision carries weight for future investigations, signaling courts are willing to uphold disclosure rights when public interest outweighs confidentiality claims.The case reflects broader tension between corporate privacy protections and regulatory accountability.For watchdogs, the precedent strengthens enforcement tools. Market participants will likely scrutinise which firms face naming, a development that could trigger share price volatility and reputational consequences.Europe’s manufacturing deepens contractionEurope’s factory sector ended 2025 in sharper decline, with the Eurozone Manufacturing PMI sliding to 49.2 in December, its lowest in eight months.Germany and France bore the brunt, both posting nine-month lows as demand weakened and export orders fell for the fifth consecutive month.New orders contracted again, while job losses accelerated to their fastest pace since April.Production volumes, which had expanded nine months straight, finally contracted.Despite manufacturers’ improved long-term optimism, the immediate reality was sobering: input costs spiked to eight-month highs while companies absorbed pressures, unable to raise selling prices.Tesla’s European sales show a stark regional divideTesla’s vehicle registrations painted a mixed picture across Europe in December, with sharp contrasts between markets.Registrations tanked in France and Sweden, signaling weakness in two traditionally strong EV markets, while Norway, Europe’s EV powerhouse, posted robust demand.The divergence reflects shifting subsidy policies, local competition intensifying, and consumer preference shifts across regions.France’s slump particularly stings given its EV adoption leadership.Tesla faces headwinds from aggressive Chinese competitors and legacy automakers ramping up EV lineups.Norway’s strength underscores the brand’s continued appeal in premium EV segments but masks broader European challenges.The post Europe bulletin: FTSE 100 breaks 10,000, manufacturing slump deepens, Tesla sales split appeared first on Invezz