Foreign Investors Sell Asian Equities, Tech See Largest Outflows

• South Korean equity markets were lower on Wednesday, with both the Kospi & Kosdaq both down over 1.50%. Tech and Semiconductor names were the worst performing and saw the largest outflow, we saw an outflow of $798 on Wednesday which was the largest since March 15th taking the 5 day net outflow of $675m. The 5-day average is now -$135m, below the 20-day average of $56m, and well down on the longer term 100-day average at $146m.
• Taiwan equities were lower on Wednesday, and we saw a $930m outflow marking the largest outflow in about a month. Net flows over the past 5 trading sessions is now flat, later today we have GDP data. The 5-day average is now $1.2m, below the 20-day average at $266m while the 100-day average is $81m.
• Thailand equities were lower on Tuesday. The SET is now trading just below support at 1,350, a prolonged break below here would see us test the Apr 19 lows of 1,330.24. We have now marked 6 straight session of selling, with the past 5 days seeing a net outflow of $222m. Focus this week will be on BoP Current Account Balance on Friday. The 5-day average is now -$44m, below the 20-day average at -$13m and the 100-day average at -$20m.
• Indian equities marked two straight days of inflows on Tuesday although equity flows have been mixed recently although we have seen a $710 inflow over the past 5 trading sessions. This week we have GDP on Friday. The 5-day average is now $142m, below both the 20-day average at -$134m and the 100-day average at $20m.
• Indonesian equities have seen 5 straight sessions of outflows for a total outflow of -$322m, equities have been mixed and continue trading sideways in tight ranges. The 5-day average is -$64m, 20-day average -$49m both below the 100-day average at $4.2m .
• Philippines equities were down over 1% Wednesday and is now testing the yearly lows made on Apr 19th. Equity flow momentum has been slightly negative recently with a net outflow of $27m over the past 5 trading sessions. The 5-day average is -$5.5m, below the 20-day average at -$3.5m and the 100-day average at -$3.3m.
• Malaysian equities were lower on Tuesday and is now testing the 20-day EMA, we have now marked three straight session of net selling from foreign investors although still positive flow over the past 5 sessions for an inflow of $3.9m. The 5-day average now $0.8m, below the 20-day average at $32m but in line with the longer term 100-day average at $0.60m.

Table 1: EM Asia Equity Flows