EQUITIES as a percentage of any Portfolio

(Updating with full report)
LONDON (AFX) - Leading shares closed lower today, ending 2004 on a negative
note on the back of weak energy and financial stocks, although UK blue-chips
enjoyed healthy gains for the year as a whole, with the FTSE 100 up more than
7.5 pct in 2004, dealers said.
The FTSE closed 5.8 points lower at 4,814.3, while the FTSE 250 index ended
the day 13.7 points higher at 6,936.8, up 19.5 pct in 2004, and the FTSE
Smallcap index closed 5.7 points higher, up 11.4 pct in the year.
Volume was on the low side, although better than expected, with 925 mln
shares changing hands in 37,136 deals, as traders indulged in a little
end-of-year window dressing.
Looking ahead to Wall Street, US stocks are expected to open fractionally
lower according to spread-betting firm IG Index, with the DJIA and the Nasdaq
both seen around 2 points down.
In London, the last session of the year was, as ever, a dull affair, with
little in the way of corporate news to excite what few traders remained at their
desks.
Among blue-chips, the travel and insurance sectors came under renewed
pressure as the human and economic cost of Sunday's tsunamis continued to climb.
Carnival fell 22 pence to 3,178, while Intercontinental Hotels dropped 6-1/2
pence to 647-1/2 and Hilton lost 0-3/4 pence to 284-1/2.
Small cap travel group MyTravel shares lost 1.5 to 6.00 on profit taking
having rallied strongly since Christmas Eve after finally getting approval from
shareholders and bondholders for its radical restructuring plans.
Late yesterday MyTravel said it is set to achieve profit margins in line
with current UK travel industry standards by 2007.
Among the blue-chip insurers, Aviva eased 0-1/2 pence to 628 and Legal &
General fell 0-1/2 pence to 110.
Corus was the FTSE 100's biggest faller however, ending down 1-1/4 pence to
50-1/2, as concerns over China's rising steel exports continued to weigh on
sentiment.
On the second line, Whatman lost 17-1/2 pence to 232 after unveiling
restructuring news which will result in the loss of around 160 jobs and give
rise to a one off cost of 11.4 mln stg.
Whatman also noted that its full-year sales are disappointing at around 3
pct below expectations, but added that earnings before exceptional charges
remain in line with consensus for the full year.
Elsewhere, housebuilders suffered after this morning's Financial Times
reported that the sector is facing a big rise in the cost of submitting planning
applications under government plans.
Bovis Homes lost 9 pence to 580, while Berkeley lost 7 pence to 800 and
George Wimpey fell 2-3/4 pence to 403-3/4.
Earthport stood out among the gainers however, up 0.30 pence at 1.60 after
posting narrowing losses for the full year to end June and announcing that
sales continued to grow in the most recent quarter.
The group, which provides electronic payment systems, recorded a pretax loss
of 6.6 mln stg against a loss of 12.9 mln a year earlier for the 12 months to
June 2004.
Black Rock added 0.84 pence to 2.79 after an upbeat drilling announcement.
There was also a new issue to provide some interest today, with Servision
shares starting trading on AIM at 85 pence.
On the macro front, there will be no important economic data due for release
today to offer any alternate direction, either in the UK or the US.
gl/jc