He says the economic growth spurt that resulted from the re-opening of the Chinese economy may now be on the wain, something which may be disinflationary for the rest of the world.
But despite that, he says: “Chinese equities have now unwound a good part of their large gains around the turn of the year, but China and Asia more generally remain two of our favourite equity regions. Although the economic rebound may not be quite as strong as hoped, growth still looks set to be considerably higher than anywhere else over the coming year. Valuations also remain cheap and supportive, unlike in the US."
Article continues after advert
david.thorpe@ft.com
Page 3 of 3
