Morgan Stanley Joins Goldman in Bullish Call on Chinese Assets
- Bank forecasts yuan to rally to 6.65 per dollar by year-end
- Sees China stocks topping global performance rankings in 2023
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Morgan Stanley followed Goldman Sachs Group Inc. in ramping up bullish bets on Chinese assets as the swift dismantling of Covid Zero policies boosts the nation’s growth outlook.
It sees the yuan advancing to 6.65 per dollar by year-end, which amounts to a 1.8% gain from current levels, strategists including Laura Wang wrote in a Jan. 9 note. The bank also sees Chinese shares topping global performance rankings in 2023. It raised its end 2023 index target for the MSCI China Index to 80, which implies a 13% gain from Monday’s closing level.