PV Business Desk : A gauge of Asian shares fell for a third straight session on Friday as jitters over upcoming US presidential elections and fears that the global economic downturn will persist enveloped markets, though the index was still set to end the month higher.
MSCI’s broadest index of Asia-Pacific shares outside of Japan was last down 0.3%, on track to the end the week 1.3% lower after four straight weeks of gains.
The index is up 3.7% in October so far. Analysts expect this broader outperformance to extend further.
“For a crisis of this scale, Asian equities have performed remarkably well,” Citi analysts wrote in a note.
“Within the region, markets with a higher weighting of technology stocks or where the recovery has become more entrenched have outperformed,” they added. “This solid performance can continue, in our view. Valuations are reasonable for an early stage of a recovery while liquidity is generous. There has also been a perceptible drop in volatility in recent months.”