Matthews Asia Perspective 21 June 2013
End of Quantitative Easing Tapers Asian Returns?
Markets recently proved skittish following public comments by both U.S. Fed Reserve Chairman Ben Bernanke and Japanese Prime Minister Shinzo Abe. Believing that the authorities were planning to be less aggressive with monetary stimulus than expected, speculators caused an abrupt sell-off in Japanese equities and investor fears rose. But what do these market moves really mean for Asia and is there truly evidence of monetary tightening now? Chief Investment Officer Robert Horrocks, PhD, and Portfolio Manager Teresa Kong, CFA, explore.