Asia Pacific Weekly Kickstart

The MSCI AC Asia Pacific ex Japan (MXAPJ) rose 1.1% this week, supported by domestic retail buying in North Asia which counteracted significant foreign outflows. However, hawkish US Fed signals and rising Treasury yields remain key macro headwinds for the region.

Key Takeaways

• 1.North Asian equity markets (Korea and Taiwan) have rallied significantly YTD, driven by strong domestic retail participation which has offset substantial foreign outflows.
• 2.The April FOMC minutes provided hawkish signals, with a majority of participants open to policy firming if inflation persists, pressuring Asian markets via higher US rates and a stronger USD.
• 3.Bank Indonesia (BI) delivered a surprise 50bp rate hike, while South Korean exports showed a rebound in semiconductors, indicating regional tech resilience.

Table of Contents

• Charts of the Week
• Asia Regional Market/Sector Summary & Scorecard
• Our Views, Allocations and Trade Ideas
• Goldman Sachs Global Macro Forecasts
• Upcoming Catalysts and Events
• Performance Snapshot: Regions, markets, commodities, FX and rates
• Performance of APxJ regional sectors, slices, themes factors
• Relative Performance of Asia Macro Slices
• Relative Performance of Asia Pacific Sectors
• Style Monitor: Long/Short Performance of Asia Styles
• Leaders & Laggards
• Earnings Revisions and Sentiment
• Valuations in Context
• Fund Flows and Liquidity
• Equity Risk, Volatility and Correlation
• Policy Risk Indicators
• Tracking Regional Macroeconomic Indicators

Document Preview

Page 1 of 5

Subscribe for full accessStart Free Trial