Goldman identifies the stocks that stand to gain the most from China's openness.

The Goldman Sachs equities strategy team claims that there has been a significant improvement in China's growth prospects.

The abrupt change in China's long-standing zero covid policy indicates that the country is reopening sooner than anticipated, according to expert David Kostin. "Our experts in China now anticipate 5.5% GDP growth in 2023 (up from 4.5% just two months ago)"

According to Kostin, "baskets of companies with exposure to international sales have outperformed along with the improving outlook for global growth and FX weakening." The Russell 1000 (NYSEARCA:IWB) companies having the highest sales exposure to China are included in the "China Sales Exposure basket."

Its performance in comparison to the S&P 500 (SP500) (SPY) "has followed the path of USD (DXY)/CNY (CYB), surpassing the index by 5 percentage points year to date as the dollar has decreased."

Stocks in the China Sales Exposure Basket with market capitalizations greater than $10 billion:

in Greater China, Monolithic Power Systems (MPWR), % of sales non-U.S. sales at 72% 97% Qualcomm (QCOM), 67%, 96% Las Vegas Sands (LVS), 67%, 100% Nvidia (NVDA), 58%, 84% Texas Instruments (TXN), 55%, 90% Applied Materials (AMAT), 53%, 91% KLA (KLAC), 51%, 89% Lam Research (LRCX), 50%, 95% Teradyne (TER), 47%, 89% Western Digital (WDC), 47%, 78% Qorvo (QR 67 percent are from Mettler-Toledo (MTD), 20 percent are from Agilent (A), 20 percent are from Otis (OTIS), 20 percent are from Avery Dennison (AVY), 20 percent are from Tapestry (TPR), 19 percent are from Celanese (CE), 19 percent are from Keysight (KEYS), 19 percent are from Waters (WAT), 19 percent are from Apple (AAPL), 19 percent are from Nike (NKE).