SINGAPORE (Nov 26): Following a “dismal” 2015, DBS Vickers sees a better 2016 for its basket of Asean consumer stocks under coverage.

Thus far, these stocks have posted just 2% growth earnings and not 6% as the brokerage was expecting, no thanks to slower topline growth, unfavourable currency movements as well as higher operating costs.

However, coming into a new year, DBS Vickers is “marginally optimistic” that 2016 will be better, with earnings of these stocks seen to grow 13%, driven by higher GDP growth and easing of volatile currency movements. Governments are also introducing stimulus packages and there is also the low-base effect from 2015 that will help accentuate growth, states the brokerage in a Nov 26 note.

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