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Asian stock valuations surge to 14-month high in April

Published 03/05/2019, 08:50 pm
Updated 03/05/2019, 09:00 pm
© Reuters.  Asian stock valuations surge to 14-month high in April
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May 3 (Reuters) - Valuations of Asian equities reached a 14-month high at the end of April as regional shares rallied on optimism about Chinese economic data and the prospects for a U.S.-China trade deal.

MSCI's broadest index of Asia-Pacific shares gained 1.6 percent .MIAP00000PUS in April. According to Refinitiv, the region's forward price-to-earnings ratio (P/E) was 13.2 times at the end of last month, the highest since February 2018.

Despite gains in April, the regional index was still trading at a discount to the MSCI All Country World index's .MIWD00000PUS forward P/E of 15.2, suggesting Asian stocks were still cheaper than global peers.

At end-April, Indian and Malaysian stocks were the most expensive with price-to-earnings ratios of 17.2 and 15.6 respectively, according to Refinitiv. South Korea and China were the cheapest, with ratios of about 11 each.

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https://tmsnrt.rs/2LiXHJf MSCI Asia Pacific and World Index forward PE

https://tmsnrt.rs/2Wo9tDs

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