Goldman Proclaims "It's Hunting Time" In China, Calls Bottom

As the Chinese government is reported to be investigating illegal stock trading linked to short selling of derivatives as the reason for its market slide, Goldman Sachs research today said the slide is “a correction, not a collapse,” indicating that recent selling activity might present a value opportunity. Goldman on China points to a core measure of value, price earnings ratio “China is undergoing a correction, not heading into a systemic/bear phase,” the Goldman team of Kinger Lau, Timothy Moe, Chenjie Liu and Jack Wang pronounced. Observing 40 years of statistical history, they note that there is a 44 percent probability…