mumbai jan 12 reuters  bond markets in asia are likely to stay resilient even as the us federal reserve begins to unwind stimulus and hike interest rates this year economists said more measured inflation will keep financial conditions relatively easier in asia where bond supply is also more adequately matched to demand said robert tipp chief investment strategist and head of global bonds at pgim fixed income asian bond markets are likely to be more resilient in terms of risk appetite and there is less upside risk for rates despite the situation in china tipp told the reuters global markets forum gmf analysts at morgan stanley wrote chinas shifting policy stance from overtightening to easing will drive recovery there read more staying more constructive than the consensus on asias growth outlook morgan stanley also cited exports and capex driving a strong and productive cycle in the region us real rates have not risen by a significant extent and asias starting point of macro stability means that asia will be able to manage the fed tightening cycle they wrote japan is widely expected to maintain its ultraloose policy chinas further easing is likely to take yields lower while south korean yields which have already fallen sharply will see the bank of korea tightening beyond fridays expected hike read more asia isnt going to go crazy on rates locally so may not be too affected by us rates said robert carnell chief economist and head of research at ing asia in contrast australian bonds are likely to more closely track those of the us and we may see the reserve bank of australia hinting about their own end of taper and eventual rolloff carnell said the us yield curve has flattened following the fed minutes last week as investors brace for rate hikes as soon as march that will push shortterm rates higher us twoyear treasury yields rose to their highest level in nearly two years of 0945 but fell to 09089 after fed chair jerome powells tuesday congressional hearing read more brian coulton chief economist at fitch ratings wrote in a note that a full normalisation could see us nominal interest rates rise to about 3 over the mediumtolong term potentially pushing up global rates reporting by divya chowdhury in mumbai and aaron saldanha in bengaluru editing by kim coghill