China Stocks Favored, Principal Global's Chandgothia Says

The video discusses the outlook for Asian equities in 2019, highlighting the light market positioning and potential for improved returns. It reviews economic indicators, such as GDP growth and dollar trends, and examines the poor market performance in 2018. The focus shifts to China, emphasizing the importance of a trade deal with the US and changes in domestic policy to boost growth.

What was a significant factor in the outlook for Asian equities in 2019?

• High earnings growth expectations

• Increased foreign investment

• Light positioning and foreign sell-off

• Strong US dollar

What could lead to the return of carry trades in the market?

• A strengthening US dollar

• Higher interest rates

• Narrowing growth differentials

• Increased fiscal spending

Which market is expected to benefit from a trade deal with the US?

• India

• Japan

• China

• South Korea

What is a key factor in the potential improvement of market sentiment in 2019?

• Higher inflation rates

• Decreased social financing in China

• A trade deal between China and the US

• Increased global interest rates

What change in Chinese policy is mentioned as a growth booster?

• Reduction in social financing

• Stricter financial regulations

• Easing fiscal and monetary policy

• Increased tariffs