All eyes on the Fed in developing Asia

India and China have the limelight but managers are looking to South Korea and Malaysia in 2006

Managers are eyeing up the Fed to gauge how an interest peak, widely predicted to come in the first quarter of 2006, will affect the local markets.

James Weir, investment analyst at long-only Asia specialist fund Atlantis Investment Management, says the effect will depend on various factors, the pegging of the domestic currency to the dollar, and exposure to US consumers.

The latter consideration is being weakened by the emergence of local populations as a consumer force, with China the obvious

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