Market Overview
China's A-share market maintained its strong momentum today. The Shanghai Composite Index rose 1.5% to close at 4083 points, achieving 13 consecutive gains and setting a new 10-year high since July 2015. The Shenzhen Component Index gained 1.4%, and the ChiNext Index advanced 0.75%. Total market turnover expanded to 2.83 trillion yuan, with over 4,100 stocks rising, indicating robust market sentiment.
Key Sector Performances
- Tech Themes Remain Active: The brain-computer interface sector continued its surge, with over ten stocks hitting the limit-up. The commercial aerospace sector rallied in the afternoon, pushing related ETF prices to record highs.
- Finance and Cyclicals in Sync: Brokerage and insurance stocks were active. Cyclical sectors like titanium dioxide, phosphorous chemicals, and minor metals were among the top gainers.
- Strong Linkage with Commodities: Domestic commodity futures saw broad-based gains. Lithium carbonate hit the limit-up (9%), while silver futures rose over 7%, and copper & tin futures gained over 4%. LME copper prices also reached a new high, reinforcing the rally in related A-share sectors.
Core Insights
- Strong Trend with Volume Support: The consecutive gains in the Shanghai Index coupled with turnover consistently above 2.5 trillion yuan suggest active capital inflow and a solidified upward trend.
- Clear Themes, Broad Participation: The rally is not sector-specific. It features a dual-engine drive: the "New Quality Productive Forces" tech theme (e.g., AI, commercial aerospace, BCI) and the "Global Recovery/Inflation Expectation" cyclical theme (e.g., non-ferrous metals, chemicals).
- Supportive Internal and External Environment: Internationally, record highs for LME copper and major Asian indices like Japan's Nikkei and South Korea's KOSPI provide a favorable backdrop. Goldman Sachs' recommendation to overweight Chinese stocks also reflects foreign optimism.
Outlook
With the breakthrough of key resistance levels, bullish momentum is strong. Investors may focus on two main lines: 1) tech growth sectors benefiting from technological breakthroughs and industrial policy (e.g., commercial aerospace, AI applications); 2) cyclical sectors closely linked to global macro trends and commodity prices. Indices like the CSI 500, representing mid-cap growth, have performed notably well and can be a reference for balanced allocation.
This article does not constitute any investment advice. The stock market involves risks, and investment should be made cautiously!