Fund managers optimistic over longer term

ASIAN equity markets look more promising over the longer term but short-term indicators and macroeconomic fundamentals will need to be firmer first before regional bourses start to make a more sustainable climb, fund managers and analysts said.

Money continues to flow into Asian equity markets with second quarter (Q2) funds flow totalling US$12.7bil, the largest quarterly inflow since 2001, in stark contrast to outflows of US$4bil in Q4 of last year, according to Macquarie Research analysts in a report dated June 26.