FII outflows stand at $3 bn, buy on dips: Credit Suisse

Sakthi Siva, Credit Suisse says net foreign selling in Emerging Asia ex-China and Japan over the past three months and early September has risen to USD 36 billion."The countries that have borne the brunt of this foreign selling are Japan (USD 13.1 billion), Korea (USD 7.1 billion) and Taiwan (USD 6.1 billion). Net foreign selling over this period was USD 3 billion for India, USD 2.6 billion for Malaysia, USD 2.5 billion for Thailand, USD 1.2 billion for Indonesia and USD 0.9 billionfor the Philippines," she explains.

The brokerage continues to suggest buying the dips as MSCI Asia ex-Japan P/B has dropped to 1.27x (just 3 percent above 2008-09 lows), she adds.

"We continue to remain overweight on four cheapest markets on our price-to-book-value against return on equity valuation model which are MSCI China, Korea, Taiwan and Singapore," says Siva.