ASEAN Speaks

Winson Phoon shares on what the bond futures market imply about risks following the Fed’s signal that tapering could occur as early as late 2021. Malaysia has announced its new cabinet lineup; will this announcement improve overall market sentiment for FBMKLCI? Semiconductor industry has been facing pressure because of supply chain bottlenecks. Is now the time to take profit on ASEAN chip testers and contract manufacturers?

Malaysia has appointed Datuk Seri Ismail Sabri as its 9th Prime Minister. Will the change bring about the much needed political stability? As the Fed heads into its Kansas City annual conference on Thursday, markets will be watching for clues what the Fed will do about tackling higher inflation. MKE makes the case for 4 risk factors that will delay the pace of ASEAN’s economic recovery. Thailand will face its first twin deficit since 2013. MKE’s Thai strategists assess the economy and their portfolio strategy.

Chua Hak Bin argues that ASEAN’s economic outlook will continue to diverge at the country level, well into 2022. MKE launch model portfolio baskets to help clients invest through market cycles. What is priced into FX and credit markets as markets weigh in on the timing of US Fed tapering? Finally, MKE is long CPO sector despite near-term headwinds.

Indonesia ESG push does not get enough credit from markets. MKE Research downgrades Vietnam as the country loses it grip on containing the Delta variant. Is the anomaly between 10y UST and inflation trends expected to last and what is MKE’s call on USD and ASEAN FX? Anand Pathmakanthan shares his top picks for ASEAN and Thilan Wikramasinghe discusses MAS’ latest move to uplift dividends for Singapore Banks.

Despite the Fed’s assurance that higher prices are merely transitory, the uncertainty of its duration leads to higher volatility in the market. Maybank downgrades the Thai property sector; ASEAN Speaks panelists dissect the drivers and explain how property developers are resorting to technology to sustain sales. Stay tuned for these highlights and more.

US 10 year treasury yields continue to compress; Maybank's fixed income team addresses the factors that are driving compression. With political headwinds rising in Malaysia and EMCO impacting labour supply, which industries are least vulnerable? Thailand's hospitality sandbox kicks off in Phuket but reopening plans hang in the balance following the discovery of COVID-19 cases from inbound tourists. 

Amidst a strong US jobs market, low US treasury yields and VIX, ASEAN equity markets’ performance was relatively weak last week, especially Malaysia. Maybank’s strategists focus on the Delta variant’s impact on the timeline to recovery and where smart money is flowing.

G7 landmark accord on corporate tax reform aims to end the race to the bottom since the 1980s in which countries have slashed corporate tax rates and provided generous exemptions to attract MNCs. How will ASEAN stay competitive? Maria Lapiz, MKE's Thai Head of Research shares with us the ESG investment landscape in Thailand and her top picks within this category. The Philippines equity market continues to fall further into deep value territory. MKE Phil research desk shares on 8 of their favourite undervalued gems.  

As Fed shift resets markets, Maybank Kim Eng’s FX strategists discuss about the sensitivity of ASEAN currencies. ASEAN equity markets mostly ended down last week except for Malaysia and Vietnam. Our Singapore REITs and Malaysia property research desks discuss where value can be found.

KL Kepong has launched a RM1.5b cash offer to buy IJM's 56% stake in IJM Plantations. Is the deal accretive and are there other noteworthy acquisition targets left within the sector? Thailand's stock market has performed well despite sluggish economic data and concerns over rising covid cases. Maria Lapiz, Maybank's Thai Research Head shares her insights and her top 3 picks for the remainder of 2021.