The region's markets are likely to plunge before surging in the second half of 2023, according to JPMorgan analysts.
Southeast Asia's market trajectory will be like that of a "bungee jump" in 2023, plunging before surging in the second half of the year, according to JPMorgan analysts.
That's likely to be characterized by a "sharp fall followed by a rapid increase in altitude followed by another decline until eventually markets come to rest at rock-bottom," analysts led by Rajiv Batra wrote in a report. They attributed that to weakened purchasing power in light of monetary policy tightening, lower savings and the higher cost of borrowing.
On top of that, China's expected relaxation of Covid restrictions is unlikely to offset the forecast plunge.Kevin Frayer | Getty Images News | Getty Images "The benefits from China's reopening will be offset by recessions in the developed markets," JPMorgan analysts told CNBC, adding that Southeast Asian markets have high exposure to exports and demand from the economies of developed markets.
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Celine Dion Reveals Rare Neurological Disorder, Vows to Return to Stage in 2024: ‘All I Know Is Singing’Celine Dion revealed she was diagnosed with a rare neurological disorder and has postponed her tour to 2024.
Read more »
Ironman Alaska canceled for 2023 and 2024Liz Perry, president and CEO of Travel Juneau, said the Ironman Alaska triathlon organizer called her to say that the decision arose from economic concerns like inflation and the potential for a recession.
Read more »
Former Phillies ace Cole Hamels feels healthy, eyes 2023 comebackPhiladelphia Phillies ace and 2008 World Series MVP Cole Hamels is plotting a comeback for 2023. Hamels turns 39 this month.
Read more »
Amtrak's Gulf Coast return will be in 2023An Amtrak official disclosed that a pending settlement ending a legal proceeding before the U.S. Surface Transportation Board will enable a 2023 start of Amtrak service connecting New Orleans to Mobile with four stops along the Mississippi Gulf Coast:
Read more »
Lunar eclipses 2023: When, where & how to see themThe last lunar eclipse of 2022 has passed. Here's what we have to look forward to in 2023 ⬇️
Read more »