© Reuters. An investor looks at an electronic board showing stock information of Shanghai Stock Exchange Composite Index in Beijing

(Reuters) – Valuations of Asian equities ended May at a four-month low, as regional shares slumped after the United States raised tariffs on Chinese goods, stoking concerns about a global economic downturn.

At the end of last month, Asia’s forward price-to-earnings ratio (P/E) stood at 12.5 times, the lowest since January, data from Refinitiv showed.

MSCI’s broadest index of Asia-Pacific shares fell 6.2% in May, its steepest monthly decline since October 2018.

Indian and Malaysian stocks were the most expensive with P/E ratios of 17.4 and 15.8 respectively.

On the other hand, China and South Korea were the cheapest in the region, the data showed.

DBS Bank said it liked markets which are domestic demand oriented and where valuations are attractive enough to cushion the downside.

The brokerage said China, Singapore, Indonesia and Philippines are its favored markets.

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2019-06-04