MONEY MASTER

Goldman Sachs Group Inc has upgraded its economic growth forecasts for China in both 2024 and 2025 following Beijing’s recent announcement of stimulus measures aimed at boosting growth, including plans for greater public spending. The bank now expects China’s gross domestic product (GDP) to expand 4.9% in 2024 , up from its previous estimate of 4.7%. The forecast for 2025 has also been raised to 4.7% from 4.3% , according to a report released on Sunday. Goldman economists, including Hui Shan , noted that the latest round of stimulus reflects a clear shift in Beijing’s policy focus toward economic management, with increased efforts to counter weak sentiment and deflationary pressures . The upgrade follows the Finance Ministry's pledge to provide greater fiscal support during a highly anticipated briefing on Saturday. However, the measures fell short of direct steps to stimulate consumption, which some analysts believe are essential to combat deflation. Key fiscal measures includ...

  Goldman Sachs upgraded its outlook for Chinese stocks to overweight , predicting that shares could rise another 15%-20% if Beijing follows through on its stimulus measures , according to a note from strategists, including Tim Moe, dated Oct. 5. The investment bank joins HSBC Holdings Plc and BlackRock Inc. in turning more bullish on China's equities. Despite the recent rally, valuations remain below historical averages , and with earnings expected to improve and global investors under-positioned , Goldman sees further upside potential. The CSI 300 Index has already climbed 27% from its September lows , and analysts will be closely watching to see if this momentum continues when onshore markets reopen on Tuesday after the holiday. Goldman raised its targets for the MSCI China Index and CSI 300 Index to 84 and 4,600 respectively, projecting a total return of 15%-18% . However, they warned of potential risks, such as weaker-than-expected stimulus , profit-taking , and geo...

Goldman Sachs Group Inc is being accused in a lawsuit of selling out a client to curry favor with Prime Minister Najib Razak at a time when the bank has already been under scrutiny by regulators over its fundraising for the embattled 1Malaysia Development Bhd (1MDB). Goldman and former managing director Tim Leissner allegedly betrayed their duties as financial adviser of EON Capital Bhd, which was taken over by Hong Leong Bank Bhd. for $1.7 billion in May 2011. Goldman used EON’s confidential information to help the bank buy EON on the cheap knowing that Najib’s brother served as a board member and another brother chaired the investment firm advising the bank, Primus Pacific Partners 1 LP said in the complaint. (Source: Bloomberg) Spokesman for Goldman said lawsuit as "misguided" Primus Pacific, EON’s biggest shareholder after buying a stake of more than 20 percent in 2008, unsuccessfully sued twice to block the sale, arguing that Hong Leong’s takeover price ...