Today Still a Good Entry Point for Asian Junk Bonds, Matthews' Kong Says

The video discusses the strong market performance in January, driven by changes in sentiment regarding US-China trade and a dovish Fed. It highlights investment opportunities in U.S. dollar Asia high yield, emphasizing the attractive entry point despite potential volatility. The global economic outlook suggests a persistent gap between the US and Europe, while the gap with China may narrow. The video also explores China's market potential, stressing the importance of security selection for investment success.

What factors contributed to the strong performance of U.S. dollar Asia high yield in January?

• A resolution of trade issues between the U.S. and Europe

• Increased interest rates by the Federal Reserve

• A decrease in U.S. Treasury yields

• A more dovish Federal Reserve and potential U.S.-China trade resolution

What is the expected economic relationship between the U.S. and China this year?

• The gap between the U.S. and China will widen

• China will stop its monetary and fiscal policies

• The gap between the U.S. and China will narrow

• The U.S. will experience a recession

What is the outlook for emerging market assets this year?

• They are expected to do well with continued volatility

• They will outperform all other markets without any volatility

• They will remain stable with no growth

• They are expected to perform poorly

What is crucial for investing in Chinese companies according to the video?

• Avoiding all Chinese companies due to high risk

• Investing in any company without analysis

• Focusing on companies with weak balance sheets

• Security selection and choosing companies with strong balance sheets

What is the current state of Chinese issuance in the Asian market?

• China is leading in global issuance

• China is underperforming in terms of issuance

• China is already half of Asian issuance but still has room to grow

• China has no significant presence in Asian issuance