Julius Baer anticipates that the ongoing AI boom will significantly influence Asian equities in the latter half of 2026. Analyst Richard Tang has issued overweight ratings for Japan, South Korea, and China, citing a robust earnings cycle. Japan is poised to attract more foreign investment due to optimism about its "high-price economy" and corporate governance reforms. Meanwhile, South Korea's market rally is expected to persist amid a memory chip shortage.
In China, A-shares are projected to maintain stronger AI exposure than H-shares. Julius Baer also highlights Singapore for its strong currency and high market yields, while predicting a potential recovery in India's market later this year, driven by increasing household savings and favorable demographics.
Julius Baer Forecasts AI to Propel Asian Markets in H2 2026
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