Daily FNArena News - International

China’s emerging middle class cannot be underestimated, and foreign companies wishing to benefit will need to follow the Chinese up the income ladder.

Contrary to the Bank of Korea’s policy stance, Alliance Bernstein feels South Korean growth is peaking.

A shift in China’s FX policies would probably help ease growth, but HSBC strategists see this as unlikely ahead of next year’s political reshuffle.

Stainless steel prices could rise by as much as 19% over the coming four months, MEPS says, pushed higher by nickel.

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.