Asia's World-Beating Equity Rally Is Just Beginning, SocGen Says

  • Earnings, valuations, liquidity are driving outperformance
  • Dollar rebound, North Korea, China congress seen as key risks

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Global stocks have been climbing to all-time highs but they still trail behind Asian equities this year. Societe Generale says the outperformance has only just begun.

This view is based on three factors -- earnings dynamics, reasonable valuations and ample liquidity, analysts led by Frank Benzimra, head of Asia equity strategy, wrote in a Sept. 14 report.