KUALA LUMPUR (Feb 13): RHB Research Institute has turned more positive on the banks and consequently, upgraded its call to Neutral from Underweight.
“The key factors that underpin the change in our sector view are: 1) easing macro headwinds; and 2) the sector has underperformed the broader market and regional peers year-to-date,” it said on Monday.
RHB Research said while it thinks the Eurozone is unlikely to avoid a recession in 2012, “we think the worst has likely past”.
The research house said the recovery in the US economy appeared to be gaining momentum following a string of positive economic data in early-2012.
“These suggest that the risk of a double-dip global recession is receding and outlook is becoming less gloomy, in our view. This has improved the odds for an upgrade to our real GDP growth forecast of 3.6% for 2012,” it said.
“The key factors that underpin the change in our sector view are: 1) easing macro headwinds; and 2) the sector has underperformed the broader market and regional peers year-to-date,” it said on Monday.
RHB Research said while it thinks the Eurozone is unlikely to avoid a recession in 2012, “we think the worst has likely past”.
The research house said the recovery in the US economy appeared to be gaining momentum following a string of positive economic data in early-2012.
“These suggest that the risk of a double-dip global recession is receding and outlook is becoming less gloomy, in our view. This has improved the odds for an upgrade to our real GDP growth forecast of 3.6% for 2012,” it said.
