Goldman Says Buy China Stocks With Foreign Assets as Yuan Slumps
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Gains for exporters may be harder now that Trump has won: Bank
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Goldman predicts currency will drop further 6% by end of 2017
Chinese companies with overseas businesses and foreign-currency assets will benefit as the yuan’s depreciation accelerates after Donald Trump’s victory, according to Goldman Sachs Group Inc.
The technology industry could profit the most from a weaker yuan because more than 35 percent of company revenues come from abroad, said Kinger Lau, Hong Kong-based chief China equity strategist at Goldman Sachs. Energy and industrial businesses will benefit as well with non-yuan sales accounting for more than 15 percent of their overall income last year. Exporters could advance, although it may be harder for them to excel now that Trump will be U.S. president, said Lau, adding that the yuan will weaken a further 6 percent by end-2017…
Goldman Says Buy China Stocks With Foreign Assets as Yuan Slumps
