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So today, I would say that for pure effectiveness, the better vision, better regeneration and the AC-bonus Iksar get, probably make them the supperior Monk.
1. Vision
These days with the ability to adjust the birghtness, and the changes made to how well Humans and Barbarians see in the dark there is very little draw back to being a nonnightvision race.
2. Regeneration
The "Better Regeneration" is only active while sitting. Since everyone now get a sitting regeneration far better than anything Iksar used to get, there is very little advantage here as well. Furthermore you can now bind wounds up to 70% thus your down time is much more a function of your bind wounds skills than your natural regen rate.
3. AC bonus
Here there is some advantage. However the much larger factor is the quality of gear you can afford to buy.
In todays EQ on most servers, if you don't have a group of friends starting new toons you will have to spend the majority of your time soloing pre lvl 50 or so. While it is true that there is plenty of content where faction isn't a factor, most of the content that is soloable for monks is prekunark, and faction becomes an issue. So faction can make the life of a young monk more challanging but not to the point that it becomes impossable.
In the end look at the starting stats and at which race you might enjoy playing the most. There really isn't enough differance between the two races to make a noticable impact.
Monks more than most other melee classes are judge more by their ability to pull and ability to do damage. Since in a group setting they rarely tank armor etc is less important. The key to being a good monk is to develop your pulling ability, and being able to surive long enough to get the pull back to the ambush.