Chinese Stocks A Big Brexit Winner So Far

In the event of the Fed staying dovish and/or the RMB depreciating further against the USD, Goldman Sachs analysts anticipate that macro flows would stay equity-friendly in the near term. Si Fu and team point out in their August 24 research piece titled “China Musings: The war of liquidity: Who wins, and how to engage?” that MXCN is trading at around mid-cycle levels, and even higher excluding banks. MSCI China rallied 12% since Brexit vote Fu and colleagues note that even though the MSCI China has rallied 12% on a YTD basis since the Brexit vote, China remains a laggard versus EM and…