Can Asian markets withstand a US property crash?

Asian stockmarkets have done very well this year, up until the recent setback. But are they still too dependent on the US consumer?

Emerging stock markets did very well last year, with Morgan Stanley's index gaining 30% as foreign investors piled in. Many of those economies were robust.

Conditions there were very reminiscent of the 1990s when the emerging economies of East Asia - including Thailand, Taiwan, South Korea, Indonesia, Malaysia, Singapore, the Philippines and Hong Kong - were the portrait of stunning economic growth. The region thrived by providing the West with cheap electronic components and other exports. As international capital markets opened up, foreign investors began pouring money into the East Asian countries to profit from the region's growth. As subsequent events proved, however, much of that money was ill-spent.

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