EWM: Clearer Skies Ahead For Malaysian Stocks

Aug. 01, 2023 11:24 AM ETiShares MSCI Malaysia ETF (EWM)EWM2 Comments
JP Research
5.35K Followers

Summary

  • With inflation pressures swiftly cooling off, the Malaysian monetary policy stance is turning increasingly accommodative.
  • Earnings growth estimates also remain solid despite the external headwinds.
  • Alongside several technical tailwinds, the reasonably priced iShares MSCI Malaysia ETF could see more upside from here.
Rear view Asian Chinese businessman standing at roof garden office building in city during morning looking away

Edwin Tan /E+ via Getty Images

Malaysia’s headline inflation numbers have been trending in the right direction – the latest monthly print saw even more deceleration, with core inflation (inflation minus volatile items like fresh food and energy) also quickly converging to the target YoY rate. Alongside slower growth (albeit still within the

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