What the Pros Say: Go East!
Asian and European markets tracked U.S. markets lower on Wednesday as recession fears returned to center stage after trillions of dollars pledged for global bank bailouts helped dispel worries of an imminent financial meltdown.
But while banks in Europe and the U.S. are on rocky ground, Asian financials appear to a little more resilient to the market turmoil, experts told CNBC. Here is what they had to say:
Asian Banks to Benefit
Asian financials will stand to benefit from the governments' bailout plans for Western banks, says Brian Hunsaker, senior analyst at Fox-Pitt, Kelton, Asia.
Japanese Stocks to Outperform
In the longer term, the Japanese stock index could outperform, according to Naomi Fink, Japan strategist at Bank of Tokyo Mitsubishi.
Optimistic on China
Phillip Chan, director at Shenyin Wanguo Securities is cautiously optimistic on China stocks as he sees more downside in the short-term. He tells CNBC when the markets are likely to rebound.
Upbeat on Japan
Japanese corporates' balance sheets are a lot healthier than those from other OECD countries, notes Pearlyn Wong, investment analyst at Bank Julius Baer.
Ideal Time to Go Shopping
Now might be an ideal time for Southeast Asian corporates to acquire assets in the region, says David Roes, CEO of Asean Investment Management.
Southeast Asia Markets Likely to Bottom
If the markets in the Southeast Asian region have not reached a bottom, they will probably do so in the fourth-quarter, says David Roes, CEO of Asean Investment Management.
A Down-Under Bank that Looks Good
Shaun Parkin, investment advisor at Lonsec explains why he likes Westpac shares.
Aussie Dollar to Recover
The Aussie dollar is going to recover from this point on, thinks Greg Gibbs, senior currency strategist at ABN Amro. He tells CNBC that it will likely hit $0.75 to $0.80 against the dollar by year-end.
Positive on Russian Stocks
The Russian government is taking steps to improve the business landscape for foreign investors. That is why Kirby Daley, senior strategist at the Newedge Group is positive on Russia.
Stock Prices May Have Bottomed
Stock prices might have seen their lows last week, says Dennis Gartman, founder of The Gartman Letter. With that in mind, he tells CNBC how he is investing as the U.S. economy goes through a recession.
Hedge Your Positions
During such volatile times, make sure you always hedge your positions, says Dennis Gartman, founder of The Gartman Letter. He tells investors the instruments they can use to protect their wealth.
Hold Cash Over Gold
Patrick Shum, chief strategist at Karl-Thomson Securities prefers holding cash over gold as he waits for further correction in the markets.
Chinese Growth Could Half
"Most economists are still looking at growth numbers in China that are completely unrealistic and my guess is that Chinese growth may well half next year and that means that all these commodities have got to come lower," James Barty from Arrowgrass Capital Partners told CNBC.
The knee-jerk stock rally is over and investors are now looking at the reality of the situation, Barty said, adding the bond market is now looking good value after its recent selloff.
Opportunity in Financial, Tech Sectors
There is a good opportunity right now to buy into the strongest companies within both the financial sector and the tech sector, said Subodh Kumar, chief investment strategist at Subodh Kumar and Associates. He said in terms of financials, JPMorgan Chase "still stands out".
Once the sector recovers, he also advised about investing in Japanese autos over US autos. US autos "still have a lot of restructuring to do".
Industrial Metals No Place for Investors
There is currently "no place for investors in industrial metals," said Mark Hansen from CPM Group.