KPDS 2003-1 Soru=81

We understand from the passage that the economic prospects in the current year for the European stock markets __________.

The economic news from Europe was particularly disappointing in
the second half of 2002. Moreover, recent surveys from the region
imply little prospect of improvement in the near future. Perhaps the
most worrying aspect has been the sharp decline in conditions in
Germany-the area's largest and most important economy. Domestic
demand in Germany is very weak and, with the global economy also
struggling, Germany's manufacturers have not been able to export
their way out of trouble as they have done in the past. With the
economy in such a weak state, it is no surprise then that European
stock markets have followed the US stock markets' downturn over
the past 6 months. While individual share pries may be lower and
market valuations look attractive, the economy does not. Recovery
seems some way off and strong equity performance from Europe's
markets seems unlikely in 2003.