As metal prices stabilise, Deutsche Bank predicts large scale upside for Hong Kong’s Jiangxi Copper and Zijing, as well as India’s Hindalco.
DBS believes China will need to raise interest rates and allow its currency to appreciate further and faster.
Chinese manufacturers are feeling the squeeze of higher input costs and intense competition. CLSA believes they will soon start raising prices for exports, pushing inflation up worldwide.
Experts agree the Japanese economic recovery is robust enough to witstand a few challenges. Interest rates will soon go up, but when and by how much is still subject to an open debate.
Interest rates are likely to go up further in Hong Kong, liquidity is likely to tighten, but the economy should do well.
South Korea is experiencing its own property bubble. Andy Xie believes the end result could still be positive for the country and its economy.
China is urged to pre-empt a new US dollar crisis by allowing its own currency to revalue more rapidly.
July is too early, October probably a bit late. Maybe August will be the month of the first BOJ rate hike in this millennium?
Investing in Asia has changed, because the overall environment has. Stay clear from illiquid trades and look for quality, experts say.
The World Bank sees several elements that need extra attention to bring the Chinese economy into a better balance.