ASEAN Speaks

Following the recent ratings cut in Huarong’s bonds, credit markets are unnerved by the possibility that China may actually let the state-backed distressed debt manager go into default. Over in Singapore, with the impending announcement of a cabinet reshuffle, will SGX’s strong performance and momentum come to an abrupt halt? Join us in this week's ASEAN Speaks podcast. 

Today we focus on ESG investing and find out what the scorecard looks like for Malaysian corporates and says about its ESG readiness. We also get a preview of MAS’s inflation stance and what our FX strategist is forecasting for the Sing dollar. In technology, Applied Materials just held its investor day and the group remains positive over the wafer fab equipment industry. With Intel and TSMC recen...

As the fallout from Archegos Capital appears contained and with US strong macro fundamentals hogging the limelight, capital markets moved to risk on environment, at least temporarily. This week, we assess if Malaysia’s central bank will likely tighten given their higher inflation outlook for 2Q21. With US 10 year treasuries closing out last Fri unchanged, will it continue to consolidate in this ra...

As markets brace after Archegos' fire sale of $20b worth of stocks last Friday, Asian markets seem to have held up well on Mon’s open. Malaysia’s Ministry of Finance has revised Malaysia’s budget deficit to 6% of 2021 GDP; will this lead to the introduction of capital gains tax as market grapevine suggests? As the Federal Reserve prepares to do away with restrictions on bank dividends and buybacks...

With bitcoins hogging so much limelight, Maybank's FX team joins the debate if Bitcoin and equity price moves will continue to remain positively correlated and the drivers of this relationship. Thailand’s equity market valuations are lofty, which suggests that the market is ripe for profit taking. We see tactical rotations into laggards such as Petrochemicals, Autos, Consumer Finance & banks....

With the FOMC minutes due on Wed (2pm Eastern standard time), market expectations and particularly, the distribution of the FOMC’s dot plot, are likely to diverge sharply. Whether the signal for a lift-off in interest rates comes now or later, it is prudent to take stock of the current rotation in funds flow. This week, we discuss about Top Glove’s changing fundamentals, Malaysia’s NFO sector, fin...

We continue with our analysis how capital markets are expected to trend as we rotate out of a Goldilocks environment with the apparent bottoming of interest rates. Key of which, we ask ourselves what new observations can we infer from the last taper tantrum in 2013 when the fed funds rate started to reflate? Sector wise, our strategists review their picks for medical gloves, banks, property and to...

With the spectre of rising interest rates and market volatility, we look at past episodes of taper tantrums and the vulnerability of ASEAN’s capital markets. As the earnings season comes to a close, we investigate what surprised our Singapore banks and Philippines conglomerates analysts. Finally, we also look at Malaysia’s decision to bring forward its 5G plans for commercial use by 2021. Who are...

The lunar year of the ox is said to bring success in many ways for all zodiac signs. It is no coincidence that markets are bearing witness to firmer bond yields, which we interpret as investor expectations of a strong economic recovery. As of last Fri, the 10y UST benchmark yield stood at 1.344%, up from 1.157% just 5 trading sessions earlier. Maybank’s strategists will focus on the implications t...

Singapore Budget 2021 was announced on Feb 16 by Deputy Prime Minister Heng Swee Keat. With an overall budget deficit projected at 2.2% of GDP, this estimate is much lower than the consensus median range of 4%. What are the risks of a fiscal cliff and implications on MAS’ FX policy? Are there material changes to Maybank Kim Eng’s investment outlook for the Singapore market?

We assess the impact of Myanmar’s coup on its economy as the country reverts to its past with the Lady detained and military back in charge. Malaysia has extended its MCO by 2 weeks, which was scheduled to end on Feb 4. The key question here is if MCO becomes protracted, given how fast government debt is rising, is there still room for even more stimulus? The bull run in ASEAN bank shares is showi...

Today our economics team shares on their latest outlook for Singapore. With the recent suspension of reciprocal travel bubbles with Malaysia, South Korea and Germany, how large an impact will this have on migrant workers as more than 30% of Singapore’s workforce is non resident. Lockdowns or not, Vietnam’s exports and manufacturing activity is humming. We explain the drivers behind this economic r...

As US Democrats push for US$1.9tn in stimulus, the prospects of easy monetary and fiscal policies continue to underpin ebullient conditions for global equity markets. Central banks in Malaysia and Indonesia left policy rates unchanged last week, we get a pulse check from Maybank’s economics team on the likelihood of further rate cuts and which Asian currencies are the most undervalued. On growth t...

As we ring in the new year, Maybank Kim Eng’s research team digs deep to sift through the best themes on our clients’ minds. Malaysia has just implemented movement control order 2.0 so we ask our strategists if the economic cost of MCO 2.0 will be greater than the last one. Commodity prices have also been in focus and like crude oil, palm oil prices have rallied since 3Q 2020. Will tight supplies...

AC Health was established in 2015 as a wholly owned subsidiary of Ayala Corp (AC PH). Although the entity contributes less than an estimated 5% of AC’s RNAV, AC Health is a hidden gem in AC’s portfolio as it is positioned in the fast growing healthcare sector with exposure in drugstores, medicine delivery, clinics, hospitals and tele-health services. In this episode of Captains Speak, Maybank Kim...

For our first podcast of 2021, Maybank Kim Eng’s strategists will assess the drivers behind the current reflationary cycle and whether ASEAN central banks may be tempted to bring forward interest rate normalisation. As governments prepare to stockpile COVID-19 vaccines and execute on immunisation programs, COVID cases are back on the rise. How will these developments impact brittle economies like...

In this final podcast episode for 2020, our strategists will share on their preferred markets and how you can position for 2021. Currencies is also an equally important criterion when investing in foreign markets, so find out how ASEAN currencies will benefit amidst a low USD environment, and firming commodity prices. ASEAN banks have been trending well of late as compared to the medical gloves se...

In today’s podcast, our conversations on the ASEAN capital markets will cover Fitch’s latest downgrade on Malaysia’s sovereign credit rating, Malaysia’s 3Q earnings season and our portfolio positioning strategy going into 2021. We will also go to Thailand and ask why our strategists have turned bullish on the Thai banking and property sectors despite student protests, slow tourism recovery and hig...

With Singapore’s manufacturing data still weak and the country being a proxy to global trade and demand, what does this say about the trajectory of recovery? Thailand’s export numbers are also similarly weak and the strength of the Thai Baht doesn’t help. This week, our equity and macro strategists will give their perspectives on these key developments, and what it means for different asset classe...

Our specialists will speak on Malaysia’s 2021 Budget and how the construction sector is faring in this climate. We will also discuss about Bank Indonesia's latest rate cut and also why Maybank Kim Eng's technology analysts are overweight tech stocks in Singapore and Malaysia. Finally, we find out which countries are the biggest winners from the RCEP trade agreement and the implications for the FX...

Welcome to the ASEAN Speaks’ podcast. This week, we will be speaking with Maybank Kim Eng’s Chief economist, Suhaimi Ilias, to get the lay-of-the land on key macro and policy trends. With our market strategists, Suhaimi will then assess if the positive market vibes over the last 1-2 weeks signal a silver lining in the skies for corporate earnings recovery in Malaysia, and how this sentiment may in...

Today’s conversation is with Maybank Kim Eng’s strategists on several major events and their impact on Asia’s capital markets. Topics include the implications of Joe Biden’s presidential election win and the USD; Malaysia’s 2021 budget and the read through on the country’s equities and fixed income markets; and lastly, whether the bounce in Singapore bank shares is a foreshadow of more positive de...

Welcome to the ASEAN Speaks podcast. Today, the conversations will feature Maybank Kim Eng Research where our specialists will speak on four important themes: 1) a preview of Malaysia’s budget; 2) the industrial sectors where the V-shaped recovery is most evident in ASEAN; and 3) implications for the plantation and energy sectors if Biden wins the US presidential election.

Domestic politics in the US have been making headlines of late, but how often do we hear about China’s internal factionalism? What do we understand about President Xi Jinping, and the enigma behind the man? Dr Tan Kong Yam, former Chief Economist of Singapore and World Bank Senior Economist in Beijing, has spent much of his career engaging China on its economic policies. This podcast covers both s...

The goal of developing sustainable business practices is to preserve the long-term viability of People, Planet and Profits. This podcast interview is with Datuk Abdul Farid Alias (Maybank's Group President & Chief Executive Officer), Dato' Mohamed Rafique Merican (Group Chief Executive Officer, Maybank Islamic), and Ami Moris (Chief Executive Officer, Maybank Kim Eng Group).