Pessimism grows and turns negative on profits

Economic optimism continues to slip to record lows this month, according to a monthly survey of fund managers, conducted by Gallop for Merrill Lynch. Latest figures show that only 4% of Asian fund managers expect a stronger Pacific economy, a drop from November’s 11% and the lowest since the survey began. This is mirrored by the 4% who expect a stronger global economy. In contrast, although optimism about the Chinese economy also fell from 74% to 52%, it remains significantly stronger than those figures for the rest of the region.