Good company results are expected

European equity markets might still have to endure a volatile summer, but in contrast to other global equity markets, the region is enjoying its most positive outlook for some time. The euro, which finally rallied in May after a 17-month slide, is still a concern. European economies, in contrast to the US or UK, are more sensitive to currency levels than to interest rates because they have more fixed rate mortgages and lower levels of personal debt. Although a weak euro supported Europe's climb out of recession earlier this year, too rapid an appreciation now would risk plunging the r...