{"id":123788,"date":"2021-05-05T07:31:40","date_gmt":"2021-05-05T07:31:40","guid":{"rendered":"https:\/\/precoinnews.com\/?p=123788"},"modified":"2021-05-05T07:31:40","modified_gmt":"2021-05-05T07:31:40","slug":"asian-equities-see-foreign-inflows-for-first-time-this-year","status":"publish","type":"post","link":"https:\/\/precoinnews.com\/markets\/asian-equities-see-foreign-inflows-for-first-time-this-year\/","title":{"rendered":"Asian equities see foreign inflows for first time this year"},"content":{"rendered":"
(Reuters) – Overseas investors turned net buyers of Asian equities in April for the first time this year, helped by signs of economic recovery, with the region posting a strong rebound in manufacturing activity and exports.<\/p> The inflows, however, were modest as investors maintained a cautious stance amid risks thrown up by the coronavirus pandemic.<\/p>\n Foreigners were net buyers of a combined total of $367 million in South Korean, Taiwanese, Philippine, Thai, Vietnamese, Indonesian and Indian stocks last month, data from stock exchanges showed. That compares with an average monthly inflow of $3.7 billion in the second half of last year.<\/p>\n (GRAPHIC: Foreign investments in Asian equities – )<\/p>\n South Korea, Taiwan, Indonesia, and Vietnam showed a rise in their manufacturing activity in April, helped by a surge in overseas demand for their goods, with developed economies making a fast recovery from the pandemic fallout.<\/p>\n Taiwanese equities led the region, with inflows worth $1.9 billion in April, with the economy posting its highest quarterly growth in more than a decade as demand for its tech exports surged.<\/p>\n \u201cTaiwan\u2019s inflows can be attributed to several factors, including a weakening U.S. dollar, strong export orders and industrial production growth,\u201d Margaret Yang, strategist at DailyFX said.<\/p>\n Indonesia and South Korea received inflows last month worth $90 million and $65 million, respectively.<\/p>\n However, Indian equities faced outflows worth $1.3 billion, with the country facing the world\u2019s biggest surge in coronavirus cases.<\/p>\n India\u2019s daily cases rose by a record high of 382,315 and its death toll also touched a high of 3,780 on Wednesday, raising more pressure on its government to impose a national lockdown.<\/p>\n Meanwhile, foreigners also sold Philippine shares for the 18th consecutive month in April, as a two-week lockdown in Manila and some other provinces hit its economic activity.<\/p>\n \u201cThe future outlook (for flows) remains uncertain amid another viral wave that is hitting India and its neighbouring countries,\u201d Daily FX\u2019s Yang said.<\/p>\n