Goldman Sachs upgrades H-shares to overweight, sees MSCI China up 23% in 2026

Goldman's call rests less on China's macro story than on positioning and valuation — light ownership and cyclically cheap multiples do much of the work, with AI framed as a diversification argument rather than a growth thesis. The signal matters for allocators who have treated China as an underweight for structural reasons, since a bank this size reinstating overweight can pull flows regardless of fundamentals. The open question is whether EPS growth actually delivers, and whether other sell-side houses follow or stay cautious.