Don't forget smaller Asia

Inflation is creeping into smaller Asian markets but don't dismiss the region writes Maria Merricks.

Spiralling inflation in China and India have put a dampener on the emerging market growth story and April's figures suggest the trend is far from over. China's Consumer Price Index rose 5.3% over one year, while, India's Wholesale Price Index was up a higher than expected 8.7% over the same period. While these countries struggle to battle inflation, fund managers are now concerned the ‘conflict' has spread to smaller economies in the region. Louisa Lo, head of Asian equities at Schroders, said a hike in interest rates across the region is keeping a lid on investor sentiment and th...