QE2's wider impact

Veritas manager Ezra Sun looks at the impact QE2 will have on the Asian markets.

2010 was a challenging year for the global environment with shifting fears of “green shoots withering” to premature “exit strategy” to “euro crisis” to “double dip recession”. The indecisiveness of the markets was demonstrated in that it was barely six months ago that discussion of “exit strategy” was the frenzy. This is now dramatically shifted to the opposite discussion of quantitative easing 2 (QE2). Throughout that period, we remained cautiously positive on markets because of compelling valuations as well as the belief that the fear of a hard-landing of the Chinese economy is misp...