Restructuring continues to drive market

Continental European equities marginally underperformed global equity returns in 1999 in local currency terms but underperformed significantly on a sterling-adjusted basis. Up to 30 November 1999, the FT/S&P World Europe ex UK index was up 18.0% against an 18.8% return for the FT/S&P World index in local currency terms. However, on a sterling basis, the returns were 7.2% versus 21.1% respectively. The weakness of the euro has been a function of both internal and external factors. The recovery of the Far Eastern markets (particularly Japan) saw international investors switch funds out of E...