This morning, the market movement can be divided into two parts.
In the early trading stage, the main battlefield of the market is technology stocks, the Beijing Stock Exchange continued to rise sharply, and Tianma New Materials rose by 30%, ushering in a triple board. The financial, real estate, consumption and other sectors adjusted.
During the session, a series of favorable policies continued to be released. The People's Bank of China, together with the State Administration of Financial Supervision and the China Securities Regulatory Commission, issued the Notice on Matters Concerning the Establishment of Stock Repurchase and Refinancing, and the People's Bank of China and the China Securities Regulatory Commission jointly issued the Notice on Doing a Good Job in the Swap Facility for Securities, Funds and Insurance Companies (SFISF), clarifying the business processes, operational elements, rights and obligations of both parties to the transaction to all parties involved in the swap facilitation operation. At the 2024 Financial Street Forum Annual Meeting, Pan Gongsheng, Governor of the People's Bank of China, said that on September 27, the reserve requirement ratio has been lowered by 0.5 percentage points, and it is expected that by the end of the year, depending on the market liquidity situation, the reserve requirement ratio will be further reduced by 0.25 to 0.5 percentage points, the open market 7-day reverse repo operation rate will be lowered by 0.2 percentage points, and the medium-term lending facility interest rate will be reduced by 0.3 percentage points.
At around 10:13, the index suddenly strengthened, and the Shanghai Composite Index once rose from falling more than 0.5% to rising more than 1.3%. Financial, real estate, consumer and other sectors with weak performance in early trading rose significantly at this time, among them, the brokerage sector rose the most, and individual stocks such as Tianfeng Securities and Oriental Wealth rose sharply.
At the end of the morning, the Shanghai Composite Index rose 0.67%, the Shenzhen Component Index rose 1.64%, and the ChiNext Index rose 3.29%. In terms of individual stocks, Shuangcheng Pharmaceutical has achieved 19 daily limits in the past 21 trading days.
Tech stocks continue to strengthen
This morning, technology stocks performed actively, with copper high-speed connections, semiconductor industry chains, consumer electronics and other sectors rising sharply. Leading stocks such as Zhongji Innolight, Industrial Fortune Union, Robotec, Cambrian, and O-film have risen sharply.
Analysts said that in the context of sufficient market liquidity, technology stocks are more likely to show high elasticity characteristics, coupled with frequent event catalysts, technology stocks are naturally sought after by the market.
The copper cable high-speed connection sector rose the most fiercely in the morning, and stocks such as Kaiwang Technology, Chuangyitong, and Huafeng Technology rose sharply.
According to industry insiders, copper high-speed connection products have always played an important role in high-speed interconnection products in data centers, especially in short-distance transmission scenarios inside servers, copper connections have significant advantages in terms of heat dissipation efficiency, signal transmission and cost. With the increase of transmission rate, the overall link has more stringent requirements for cable loss, so active technologies such as ACC and AEC have emerged. Active copper AEC has lower weight, better performance than DAC, and lower cost than AOC, making it also expected to seek potential application space in the AI data center market.
Orient Securities said that with the gradual maturity of generative artificial intelligence (AIGC) technology, emerging applications based on the "big data + large computing volume" model continue to emerge, which has significantly promoted the continuous rise in demand for computing power. According to the China Academy of Information and Communications Technology, the average annual computing power of the world is expected to grow at a rate of more than 50% in the next five years from 2023. As the core carrier of computing power, driven by the high demand for computing power, data centers are expected to expand rapidly in the server field and upstream and downstream industries in the next few years. Based on this trend, copper connectivity solutions are expected to increase their market share in data center short-distance connectivity due to their low cost and low power consumption, thereby driving the industry.
The Beijing Stock Exchange broke out
This morning, the Beijing Stock Exchange continued to strengthen, the Beijing Stock Exchange 50 Index rose 5.31% in the morning, 30 stocks in the sector rose more than 10%, and 8 stocks ushered in a 30% limit.
On the news side, there are two recent events on the Beijing Stock Exchange that have attracted attention. First, the official website of the Beijing Stock Exchange issued an announcement entitled "Severely Cracking Down on and Punishing Illegal Shareholding Reductions" on the evening of October 10. The Beijing Stock Exchange said that it was recently found that individual investors sold their shares in a short period of time after receiving shares from major shareholders through block trading, which violated the relevant provisions of the "Guidelines for the Continuous Supervision of Listed Companies on the Beijing Stock Exchange No. 8 - Share Reduction and Shareholding Management" on "If a major shareholder of a listed company reduces its holdings of the company's shares through block trading or agreement transfer, the transferee shall not reduce its transferred shares within 6 months after the transfer". Based on this, the Beijing Stock Exchange decided to investigate and deal with them strictly and quickly, and implemented regulatory measures such as public reprimand and restriction on securities account trading for 6 months on relevant investors.
In the evening of the same day. The Beijing Stock Exchange has publicized two decisions on self-regulatory measures and one disciplinary decision.
Second, on October 14, the State Council Information Office held a press conference on increasing the efforts to help enterprises, Wang Jiangping, vice minister of the Ministry of Industry and Information Technology, said that the Ministry of Industry and Information Technology will jointly launch the third batch of regional equity market "specialized, special and new" special board in the near future, and sign a strategic cooperation agreement with the Beijing Stock Exchange to further smooth the financing channels of the capital market for small and medium-sized enterprises.
Galaxy Securities said that among the listed companies on the Beijing Stock Exchange, there are more than 130 national, provincial and municipal specialized and new "little giant" enterprises, accounting for about half of the listed companies on the Beijing Stock Exchange. These specialized, special and new "little giant" enterprises mainly cover high-end equipment manufacturing, new chemical materials, biomedicine and other diversified subdivisions, and most of them are leading enterprises, mastering the advantages of high-tech barriers and high-quality customer resources in related industries.
(The picture of the market in the article comes from the straight flush)