Many investors think that the prospect for European equities is more attractive than for some time. Sentiment is becoming more bullish. For GBP based investors much of the gain that they have enjoyed from European exposure has been because of the currency rather than the performance of the underlying equity market. Since the Eurostox peaked in April at 3658 it has dropped about 6%. The market is only up 4% from the start of the year. GBPEUR has dropped back to 1.086 from an April peak of almost 1.2 and is now well below 1.16, which was the level at the start of the year.
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