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-…
Highlights Chart 1Reduce Credit Exposure Corporate bond spreads staged a nice rally during the past month. The average index spread for investment grade corporates is only 22 bps above its pre-COVID low and 33 bps above last…
Executive Summary Our recommended model bond portfolio outperformed its custom index by a robust +48bps in Q1/2022 – an impressive performance given the significant uncertainties stemming from the Ukraine war, surging commodity…
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…
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…
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…
Executive Summary Europe Is Russia's Key Gas Customer Full-on rationing of natural gas by Germany took a step closer to reality, as the standoff with Russia over its insistence on being paid in roubles for gas plays out.…
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…