Asia set to benefit from US growth policy

global equities

Measures designed to boost the US market are likely to have more direct impact on companies like Hong Kong property business New World Development than on home-grown firms

We find ourselves at a pivotal point in the economic and market cycle. After 11 consecutive months of positive returns, the MSCI World index fell in dollar terms in March, as geopolitical concerns re-appeared and weak employment data caused investors to worry about the sustainability of the US economic recovery. April's non-farm payrolls report has since come in stronger than expected and helped allay some of the fears for the economy. This has driven bond yields higher and potentially gives a new lease of life to cyclical sectors that had started to look tired. But investor reaction to t...