A sort of confident expectation continues in the Asian markets, and the regional index (+0.5%) is about to close at its highest level in three months. They are expected during the day generally good data from America, both for real estate (home sales) and durable goods orders. Despite the denials, the market judges (rightly) that something is moving in Europe as regards the ECB's support for countries in crisis and something has already moved (see the following launch) in China.
The p/e of the MSCI Asia Pacific Index is at 12.6, against 13.7 for the S&P500 and 11.6 for the STOXX Europe 600. Stocks in Asia have room to grow: they are not overvalued and Chinese stocks are especially cheap. Around the world, large pension funds are struggling to earn enough to meet their commitments, due to historically low interest rates. Instead, they diversify into areas with more promising yields, from energy projects in Poland to emerging markets and 'catastrophe bonds'.
THEeuro it is stable around 1.235 and oil (WTI) borders 96.
http://in.reuters.com/article/2012/08/21/markets-global-idINDEE87K00320120821
