“With subdued near-term inflation and aggressive monetary policies globally, interest rates will likely remain very low for an extended period and thus with cash returns at close to zero, this may drive market multiples higher despite weaker-than-expected earnings in this upcoming reporting season,” explains analyst Adrian Loh.
UOBKayHian (UOBKH) is continuing to look at equities with a focus on high-quality companies that have a strong earnings outlook, re-opening plays, exposure to the Chinese market as well as selected cyclicals.
See also: YKA listing expected to be catalyst to Wilmar share price: UOB Kay Hian
