Head of global currency, rates, and emerging-markets strategy reveals that he has gleaned two significant lessons from one of the most substantial, and widespread, miscalculations of 2023: the optimistic wager on the resurgence of China’s economy post-pandemic.
In the early stages of the year, Goldman Sachs joined the ranks of Wall Street institutions fostering optimism for a prosperous 2023, largely attributing their optimism to the anticipated recovery in China. Key strategists, including Kinger Lau, were among those foreseeing a 15% upswing in the Chinese stock market. The prevailing expectation was that the revitalization of the world’s second-largest economy would act as a tide lifting all ships, propelling emerging markets globally toward a remarkable year.
