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Goldman Sachs has upgraded its rating on China stocks to overweight, saying there is still 15%-20% upside potential.
China's mainland stock market will open on Tuesday after the National Day holiday, and the market is watching whether it can continue the pre-holiday rally. Goldman Sachs has raised the rating of Chinese stocks to overweight, expecting benchmark valuations to further increase, benefiting from the 'decisive policy measures' taken by the Chinese government leading to valuation improvements. Citigroup has also raised the ratings of Chinese consumer and real estate stocks. According to a commentary sent by Goldman Sachs on Saturday, analysts such as Tim Moe predict that after a strong rebound recently, the Chinese stock market still has 15% to 20% upside potential, as valuations are still below the median range, profit growth may improve, and positions are relatively light. Goldman Sachs has raised the MSCI China Index and