"Protectionism remains a source of volatility and downside for equities," analysts at JPMorgan said in a note. "Asia ex-Japan equity outperformance is in part a function of faster growth and capital inflows; both clearly at risk in a trade war. "Tariffs on China will very likely cause collateral damage in Asia, particularly to smaller open economies," said Alex Wolf, Hong Kong-based senior emerging markets economist at Aberdeen Standard Investments. "A greater share of value-added in U.S. computer imports comes from Asia ex-China than from China itself," Wolf added. "And the integration of cross-border supply chains means that small open economies like Korea and Taiwan would be highly sensitive to US and/or China trade barriers.

Source: The Star March 26, 2018 00:45 UTC