Lloyd’s of London expects to have lost about $4 billion in 1999. The market always reports with a three-year lag, and won’t publish its final 1999 results until next year.

In a statement, Lloyd’s said current trading conditions right now are looking more hopeful. That’s a good thing, because the market is expecting a loss of about $700 million for 2000.

The Lloyd’s statement said current trading conditions look increasingly positive, with shrinking capacity in the global insurance market and hardening rates.