Investor FOMO Could Lift China Stocks 50%, Goldman Says
- Strategist sees potential for near-term profit-taking first
- Many investors haven’t fully participated in the rally
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China A shares could be poised for big gains as “fear of missing out” takes hold, according to Goldman Sachs Group Inc.
The Shanghai Shenzhen CSI 300 Index of A-share stocks “would give approximately 50 percent and 15 percent potential upside from current levels if retail optimism were to return to its peak in 2015 and 2018 respectively,” Goldman strategists led by Kinger Lau wrote in a report Sunday. They cite improving risk sentiment and lack of investor participation in the earlier rally as fuel for further gains.