Asian buyers ought to deal with the area’s “sturdy” knowledge: Aberdeen
President Donald J. Trump dances at the end of the rally shortly before his departure.
Ben Hasty | MediaNews Group | Getty Images
SINGAPORE – Asia investors should focus on the strong data coming from the region rather than the US election result, said Kenneth Akintewe, head of Asian national debt, Aberdeen Standard Investments.
“I find it amazing that we sat here for two days to discuss … elections and I hardly heard anyone talk about the dates,” Akintewe told CNBC’s Street Signs Asia on Thursday.
“It is very important for Asia to remember that the elections are not really the most important thing,” he said. “The data is one of the most important things that go on.”
Akintewe pointed to the latest “robust” data from Asia, which continued to show better-than-expected momentum.
“I think that is why you are seeing strong regional asset performance outside of the elections and we believe it will continue to do so,” he said. “Ultimately, these things are usually driven by the underlying fundamentals. So we expect external balance of payments positions to continue to be supported through early next year and through most of next year.”
Asia Pacific stocks fell on Thursday, with the Hang Seng index topping the region’s major markets, rising more than 2% in Singapore on Thursday afternoon.
“You are now seeing a recovery in exports, production and indices (purchasing managers’ index) – not just in manufacturing, but also in China and India … also in the service sector,” Akintewe said. “We have already seen better economic data than previously expected. So the growth momentum for next year looks pretty good.”
On Wednesday, a private survey found that China’s service sector will grow in October. It did so on the basis of data releases days earlier that showed continued expansion in China’s manufacturing sector in October.
According to Reuters, a private survey found that service activity in India increased for the first time in eight months in October.