MSCI Asia appears overbought: Nomura

Here are experts equity calls for the day on how the markets are expected to trade:

Sean Darby, Nomura: Asian equities continue to be increasingly correlated to the greenback's depreciation. Whilst a parabolic move in Asian shares cannot be ruled out, risks are skewed towards a correction. The MSCI Asia appears overbought relative to the oversold trade weighted dollar.

Chetan Ahya, Morgan Stanley: On macro stability risks, global commodity prices are what concerns us most. If commodity prices moderate quickly with better supply response, it will help reduce inflation pressure faster than expected and keep the current account deficit within manageable levels. At the same time, any further spike in commodities would make inflation and current account deficit management even more difficult, hurting growth.