Dec 6 (Reuters) - Asian equities' valuations climbed to a
near two-year high in November, as regional stocks gained for
the third straight month on hopes of an earnings recovery next
year due to easing U.S.-China trade tensions and improving
global demand.
MSCI's broadest index of Asia-Pacific shares .MIAP00000PUS
rose for the third successive month in November, pushing its
12-month forward price-to-earnings ratio (P/E) to a 23-month
high of 13.8 times at the end of November, Refinitiv data
showed.
"We think that Asian equities can sustain above average PE
valuation levels as earnings recover and valuation remains
attractive versus global equities," DBS bank said in a report
this week.
MSCI World index's .MIWO00000PUS forward P/E was about 16,
at the end of last month.
India, Malaysia and Thailand were the most expensive in the
region, with ratios of 17.1,15.6 and 15.2, respectively, the
data showed.
On the other hand, China, Hong Kong and South Korea had the
cheapest shares in the region, with P/E multiples of 9.1, 10.6
and 10.8, respectively.
Last month, the United States and China signalled that they
made substantial progress towards the 'phase one' trade deal.
This week, U.S. President Donald Trump said that trade talks
with China were going "very well", reinforcing expectations of
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Valuations of Asian equities https://tmsnrt.rs/351qGqF
MSCI Asia and World PE https://tmsnrt.rs/2ONXwp3
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