Unsurprisingly, service sector activity slowed in China in March, reflecting the impact of COVID-19 restrictions amid surging infection rates. However, the magnitude of the Caixin Services PMI’s drop was much greater than…
Executive Summary Shanghai Is Extending Lockdowns Due To Exponentially Rising COVID Cases The economic impact of China’s struggle with another wave of COVID outbreaks is showing up in March’s PMI and high-…
Executive Summary Equities Are Still Attractive Versus Bonds Macroeconomic Outlook: Global growth will reaccelerate in the second half of this year provided a ceasefire in Ukraine is reached. Inflation will temporarily come…
Data from the National Bureau of Statics indicates that Chinese economic activity deteriorated in March. The official composite PMI fell from 51.2 to 48.8 – below the 50-line separating expansion from contraction and the…
BCA Research’s Emerging Markets Strategy service concludes that investors should maintain a neutral allocation to Thai equities in EM and emerging Asian portfolios for now, but put the bourse on an upgrade watch. Thai…
Executive Summary Thai stocks’ recent outperformance had more to do with investors forsaking Chinese and Russian markets to rotate elsewhere, rather than Thailand’s bullish outlook. Thai domestic demand is still shaky as…
BCA Research’s China Investment Strategy service concludes that it is too early to turn bullish on Chinese equities. Beijing is stepping up its pro-growth stimulus, particularly on the fiscal front. However, unless there…
Executive Summary China’s Business Cycle Has Not Bottomed Recent data showed a substantial improvement in the economy in the first two months of the year. However, the optimism is not well supported by other industry and…
Chinese industrial profits grew 5.0% y/y in the first two months of this year – marking a slight acceleration from December’s 4.2% y/y increase. Nevertheless, the profit expansion is significantly below the average 13…
By mid-last week, the Hang Seng Tech index had gained 37% over six trading days amid investor optimism of receding regulatory risk. However, the rally appeared to fizzle towards the end of the week. A statement on Thursday from…