There's no China stock bubble: Goldman Sachs

China's biggest stock market rout since 1992 has done nothing to erode the bullish outlook of Goldman Sachs Group. Kinger Lau, the bank's China strategist in Hong Kong, predicts the large-cap CSI 300 Index will rally 27 per cent from Tuesday's close over the next 12 months, as government support measures boost investor confidence and monetary easing spurs economic growth. Leveraged positions aren't big enough to trigger a market collapse, Lau says. "It's not in a bubble yet," Lau said. "China's government has a lot of tools to support the market."