Hot money flowing into Asia

According to Marc Faber, the Fed’s easy money policies have flooded emerging economies with liquidity.

As hot money has flown into the Asian countries, they have every reason to be concerned about, given the opportunistic nature of that capital and its potential detriment to the overall health of their economies. Speculative capital has flown into Korea, China and India, and some in Southeast Asia, causing asset bubbles. What would happen when those bubbles burst?

It is interesting to see how different economies have employed different monetary policies in terms of controlling inflation, their financial system, and asset prices amid hot money influx

I’m also concerned about how the Asian stock markets would react when the next leg down of the U.S. stock market takes place. It might be safe to say that if the Asian markets remain strong after the U.S. market falls, then they have decoupled from the U.S. Time will tell.