Asia - Economic Data & News 01 (Jun 08 - Jun 16)

[behappyalways]

Vietnam's Communists School Indonesia's Capitalists on Economy
http://www.bloomberg.com/news/articles/ ... 6_reaction

[winston]

Where Is Foreign Institutional Money Positioned Across Asia? By Shuli Ren

Foreigners have bought Asian stocks again in October after four consecutive months of net outflows. There was net buying of $3.3 billion as of October 23.

Taiwan was the most preferred market, seeing a $1.9 billion inflow so far, followed by India with $0.8 billion, data provided by HSBC shows. However, year-to-date, India is by far foreigners’ favorite market in Asia.

Mutual funds data for September showed fund managers were overweight on only two markets in the region, namely Taiwan and India. Korea is the most under-owned market, while mutual fund exposure to China fell to a five-year low. ASEAN countries such as Malaysia, Singapore and Thailand remained out of favor.

Asian equities rallied in October. But “the positive fund inflows were more a reflection of increasing risk to growth in developed markets, rather than any fundamental improvement in the Asian markets’ outlook,” wrote strategist Herald van der Linde.

Asian markets retreated ahead of the Federal Reserve‘s meeting today. The Shanghai Composite Index slumped 1.7%, the ChiNext Index retreated 2.9%, the Hang Seng China Enterprises Index fell 1.3%. Indonesia’s Jakarta Composite Index fell 1.3%, India’s Sensex Index dropped 0.6%, Malaysia’s KL Composite Index retreated 0.5%, and the Philippines PSE Index was down 0.4%. Korea’s KOSPI Index and Taiwan’s TAIEX fell 0.1% and 0.4% respectively.

In October, the iShares MSCI Taiwan ETF (EWT) rose 8.1%, the iShares MSCI India ETF (INDA) rose 2.1%, the iShares Malaysia ETF (EWM) gained 6.8%, the iShares MSCI Thailand Capped ETF (THD) rose 7.8% and the iShares MSCI Philippines ETF (EPHE) was up 9.6%.

Source: Barron's Asia

[behappyalways]

東盟峯會印尼向華發難
挑戰南海九段線
http://hk.apple.nextmedia.com/internati ... 2/19383210

[behappyalways]

The pirates of Southeast Asia
http://www.aljazeera.com/news/2015/12/p ... 44642.html

[winston]

One more downleg for Asia in 1Q16?

The MSCI Asia ex-Japan Index (MAxJ) should see another leg down after completing an ‘a-b-c’ wave rebound since the recent Oct bottom.

This will be in line with our wavecount for the Dollar Index peaking in 1Q16.

Singapore’s STI and Indonesia’s Jakarta Composite wavecounts are similar to the MaxJ’s.

Source: CIMB

[winston]

Asian Stocks Sensitive To U.S. Rate Hikes

By Shuli Ren

Source: Barron's Asia

http://blogs.barrons.com/asiastocks/201 ... ate-hikes/

[winston]

Why Asia Is A Value Trap

By Shuli Ren

Asian stocks are cheap. MSCI Asia ex-Japan trades at just 1.3 times book value, well below its long-term average of 1.9 times.

But we shouldn’t expect Asia to re-rate in the new year, according to UBS strategist Niall MacLeod.

This is because the “after-effects of the credit cycle” is keeping Asia’s valuations in check. Asia’s non-financial companies have piled up a lot of debt in the last two decades,from just over 75% of the aggregate GDP in 1991 to over 160% in 2015, data provided by UBS shows.

As such, the heavy lifting this year would fall on corporate earnings. But MacLeod is not feeling optimistic. While the consensus expectation of 7% earnings growth this year looks sensible, “margins are unlikely to repeat 2015′s gains.

We see greater risk of downward revisions on weak growth than a major upward surprise.”

In 2015, the iShares MSCI Asia ex-Japan ETF (AAXJ) fell 10.2%.

Source: Barron's Asia

[behappyalways]

亞投行成立　金立群任行長
廣招金融專才　港人可應徵
http://hk.apple.nextmedia.com/internati ... 7/19455422

[winston]

Goldman Sachs: Investors are overweight Indian stocks, underweight China

by Neelabh Chaturvedi

Foreigners have sold $40 billion worth of emerging market (EM) Asian equities since the start of June, according to Goldman Sachs.

Source: CNBC

http://www.cnbc.com/2016/01/27/goldman- ... 284a1255a1

[behappyalways]

China's New Economy Is Hitting Asia's Exports
http://www.bloomberg.com/news/articles/ ... mp-in-asia