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Goldman bearish on China, favours US

Senior executives from the bank's private wealth unit set out why the Chinese stock market worries them but US equities are a buy.
Goldman bearish on China, favours US
Goldman Sachs Private Wealth Management sounded a downbeat note on China’s growth prospects yesterday, while making the case for US equities on the back of strong fundamentals and cheap valuations. Worries are looming over China’s financial sector; banks account for over 40% of domestic stocks’ market capitalisation, and their valuations are 25% below their average price since January 2003. “They are cheap, but they are cheap for a reason,” says Neeti Bhalla, global head of tact…
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