Valuations of Asian equities dropped to a 21-month low at the end of January, as expectations of aggressive policy tightening by the Federal Reserve, and a surge in U.S. bond yields hit the regional stocks. The MSCI Asia-Pacific index’s forward 12-month P/E ratio stood at 13.49 at the end of last month, which was its lowest since April 2020, Refinitiv data showed.
That compares with the MSCI World index’s P/E ratio of 17.24.
