US/Mainland China - De-Escalation Appears Evident

Deputy Chief Economist

Sharmila Whelan

Independent and original Asian investment research

Aletheia Capital

Aletheia Capital (HK) Ltd. (previously known as Asianomics) combines the extensive knowledge of its experienced team with technology and regulatory changes to disrupt Global Markets business in Asia. The firm is completely independent with no conflicts of interest either on Investment Banking advisory or Capital Markets execution.

Macroeconomics

<p><strong>Asia was relatively quick to contain the Covid-19 virus outbreak. Most economies did not go into the full lockdown and if they did, are back to normal operations levels. India is the exception. Nonetheless consumers have been slow to return, and exports are plummeting. Understandably corporate profits have been hit across the region. The June Japan Tankan Survey offers some interesting insights, which we rather suspect are shared by many companies in Asia – that there is no V-shaped recovery in the offing and the business operating environment is going to tough. </strong></p>

Asia was relatively quick to contain the Covid-19 virus outbreak. Most economies did not go into the full lockdown and if they did, are back to normal operations levels. India is the exception. Nonetheless consumers have been slow to return, and exports are plummeting. Understandably corporate profits have been hit across the region. The June Japan Tankan Survey offers some interesting insights, which we rather suspect are shared by many companies in Asia – that there is no V-shaped recovery in the offing and the business operating environment is going to tough. 

DSP BlackRock Liquidity Fund (DSLQYDG IN)

Corporate Asia - Tough Times Ahead