The pivot will help offset many of the negatives facing Asian assets including expensive valuations, China’s slowdown and growing trade tensions, they say.
The Federal Reserve’s shift to interest rate cuts bodes well for Asian assets as many are underowned, and have better earnings prospects and more room to benefit from easing than their global peers.
Money managers and strategists say the central bank’s decision to lower its benchmark by 50 basis points (bps) is less of a gloomy view about the US economy and more about providing greater insurance for a soft landing.
