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Power Play: Cautious case for emerging markets

Traders work on the floor of the New York Stock Exchange.
Brendan McDermid | Reuters

If Asia is not doing well, emerging markets are not doing well. That's the important thing to remember says one of Wall Street's top strategists.

Stuart Freeman, co-head of global strategy at Wells Fargo Investment Institute, tells CNBC's "Power Lunch" on Wednesday "Asia is where the center of growth is for emerging countries."

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One of the key drivers of Asian growth is China and that country has been stumbling this year.

China's economy grew at a seven percent annual rate in the first quarter, its slowest pace in six years.

"So far, leading indicators in Asia show growth is tepid. We are not yet seeing clear signs that earnings are going to turn up in the short run here," Freeman said.

Freeman has an even weight or neutral rating on emerging markets, but he expects Asia to perform well longer-term.