1. Report Industry Investment Rating No relevant content provided. 2. Core Viewpoints of the Report - The main line remains in the technology sector, with the turnover rate increasing rapidly and the valuation of high - parity convertible bonds being relatively strong. The TMT sector has been continuously catalyzed, and technology may still be the main line during the non - earnings disclosure period. The high - parity convertible bonds are more favored by the market, and the premium rate of 130 - 150 parity convertible bonds increased by 0.24pct last week [6][10]. - Attention should be paid to the calendar effect around the National Day. Due to the long National Day holiday, pre - holiday risk aversion leads to financing net selling and trading slowdown. After the holiday, the index is more likely to recover, and different industries may have different performances. The probability of an increase in margin trading balances in November is 80%. Industries such as communication, electronics, and computers have a relatively high probability of rising after the National Day [2]. 3. Summary According to the Directory 3.1. Positive Stock and Valuation Adjustment, Main Line in the Technology Sector - Last week, the equity market fluctuated and corrected, and the convertible bond market was still in a weak range. The 100 - yuan fitted premium rate decreased by 1.66pct month - on - month. Although the trading volume recovered compared with early September, the convertible bond index's weekly trading volume was 40.9009 billion yuan, a month - on - month increase of 6.42%. The weak performance of micro - cap stocks dragged down the underlying stocks of convertible bonds, and the CSI Convertible Bond Index corrected more significantly [6][9]. 3.2. Pay Attention to the Calendar Effect around the National Day - Pre - holiday capital outflows may be replenished in October. From 2015 - 2024, margin trading balances at the beginning of October mostly decreased compared with those at the beginning of September, and the probability of an increase in margin trading balances in November was 80%. - After the holiday, the index is more likely to recover. From 2015 - 2024, the probability of the Wande All - A Index correcting before the National Day was 60%, and the probability of recovery after the holiday was 70%. Industries with a high probability of rising include communication, electronics, and computers [2]. 3.3. Market Review: Convertible Bonds Corrected Weekly, and Valuation Compressed 3.3.1. Weekly Market Quotes - Last week, major stock indices showed different performances, and the convertible bond market declined. The Shanghai Composite Index decreased by 1.30%, the Shenzhen Component Index increased by 1.14%, the ChiNext Index increased by 2.34%, the SSE 50 Index decreased by 1.98%, the CSI 1000 Index increased by 0.21%, and the CSI Convertible Bond Index decreased by 1.55%. There are 438 issued and unexpired convertible bonds with a balance of 604.505 billion yuan [28]. - In the equity market, most industries were weak. In the convertible bond market, home appliances, communication, and other sectors had the highest increases, while non - bank finance, building decoration, and other sectors had the highest declines [30]. 3.3.2. Valuation Performance - The weighted average closing price of convertible bonds was 129.22 yuan, a decrease of 1.61% from the previous Friday. The closing price of equity - biased convertible bonds increased by 3.72%, while that of debt - biased and balanced convertible bonds decreased. The 100 - yuan parity fitted conversion premium rate decreased by 1.66pct. High - rated and large - scale convertible bonds had a relatively large increase in premium rates, with AAA - rated bonds increasing by 2.44pct and bonds over 5 billion yuan increasing by 2.92pct [36]. 3.4. Terms and Supply 3.4.1. Terms - As of September 19, 4 convertible bonds, including Lushan, Keda, Jiuzhouzhuan 2, and Sanyang Convertible Bonds, announced early redemption; no convertible bonds announced non - early redemption; Jingxing and Fuli Convertible Bonds announced that they were expected to meet the early redemption conditions. - As of September 19, Huitong and Zhengchuan Convertible Bonds proposed downward revisions; Jiayuan Convertible Bond announced the downward revision result; 5 convertible bonds announced no downward revision; Kangyi, Jinggong, and other convertible bonds were expected to trigger downward revisions [3][57]. 3.4.2. Primary Market - Last week, Yingliu Convertible Bond was issued with a scale of 1.5 billion yuan, and there were no convertible bonds to be listed or issued. - Last week, Huaxiang Co., Ltd., Shangluo Electronics, and Huichuangda added board proposals, 4 companies passed the general meeting, 2 companies passed the CSRC review committee, and no new companies were approved by the CSRC. As of September 19, 3 listed companies obtained convertible bond issuance approvals with a proposed issuance scale of 6.802 billion yuan, 7 companies passed the CSRC review committee with a total scale of 6.176 billion yuan, and the total scale of the 3 new board proposals was 2.958 billion yuan [4][60][70].

Investment Strategy - The report emphasizes the strategic importance of Xinjiang in the context of national policies, highlighting its transition from a geographical hinterland to a frontier hub due to the Belt and Road Initiative. This shift positions Xinjiang as a key player in energy security and coal chemical industry development [7][10] - The coal chemical industry in Xinjiang is expected to thrive due to favorable external conditions, including rising coal prices and a focus on resource allocation towards the western regions of China. This aligns with national energy security goals and the need for sustainable development [7][8] - The report identifies two main investment themes: coal chemical investments and state-owned enterprise reforms in Xinjiang, suggesting a focus on companies involved in coal mining and energy conversion [11][12] Xinjiang Index Situation - The Xinjiang index stands at 124.88, reflecting a week-on-week increase of 0.17%. The coal chemical investment index is at 122.8, with a 2.67% increase, while the state-owned enterprise reform index is at 130.07, showing a decrease of 1.15% [14] - The top three gainers for the week include Guangdong Hongda (up 22.93%), Xiyu Tourism (up 17.58%), and Wujin Stainless Steel (up 14.68%). Conversely, the largest declines were seen in Western Gold (down 9.51%), Xinyan Co. (down 13.53%), and Zhongji Health (down 18.32%) [14] Key Data Tracking - Key coal prices in Xinjiang include Q5000 mixed coal at 100 CNY/ton, Q5200 mixed coal at 197 CNY/ton, and main coking coal at 750 CNY/ton. Methanol prices are reported at 1770 CNY/ton, with a price difference of -517.5 CNY/ton compared to East China [22] - In August 2025, coal railway shipments from state-owned key coal mines reached 3.098 million tons, a year-on-year decrease of 6.97%. The total raw coal production in Xinjiang for the same month was 42.2 million tons, down 2.18% year-on-year [22] Key News and Company Announcements - The report notes the commencement of the 2 billion cubic meters per year coal-to-natural gas project by TBEA in the Junjiu Industrial Park, with a total investment of 17 billion CNY. The project aims to utilize advanced international technologies to achieve ultra-low emissions [4][10] - Recent developments in Xinjiang's coal chemical sector include the approval of several projects, such as the 400,000 tons ammonia and 600,000 tons urea project by Xinjiang Yihua Chemical, and the successful trial run of the crude phenol refining project by Xinjiang Qinghua Energy Group [39][40] Overview of Target Companies - The report suggests focusing on companies involved in coal chemical projects in Xinjiang, including TBEA, Baofeng Energy, Guanghui Energy, Hubei Yihua, and Zhongji Health. Additionally, it highlights service providers for coal chemical projects and local state-owned enterprises that may benefit from ongoing reforms [11][12][10]

Investment Rating - The report maintains a "Recommended" rating for the mechanical industry, with a focus on the export of process industrial equipment and humanoid robots [1]. Core Insights - The petrochemical industry is expected to become a major source of global oil demand growth, benefiting from China's mature industrial chain and related equipment. Despite challenges such as energy transition and geopolitical risks, global oil demand is projected to grow by 2.5 million barrels per day from 2024 to 2030, reaching 105.5 million barrels per day [6]. - The humanoid robot sector is highlighted for three key reasons: new technology directions focusing on cost reduction and lightweight designs, the importance of application scenarios, and the division of the robot market into two main segments: equipment and data/visualization [6]. - The report suggests that monetary and fiscal policies are being strengthened, which may lead to a new recovery cycle in the equipment industry. Key companies to watch include Huichuan Technology, Xinjie Electric, and Weichuang Electric in the industrial control sector, and various companies in the robotics and machine tool sectors [6]. Summary by Sections Industry Overview - The mechanical industry consists of 632 listed companies with a total market capitalization of approximately 6,323.2 billion yuan and a circulating market value of about 5,266.4 billion yuan [3]. Company Earnings Forecasts and Valuations - Key companies and their projected earnings per share (EPS) and price-to-earnings (PE) ratios for 2025E to 2027E are as follows: - Huichuan Technology: EPS of 2.12 yuan in 2025E, PE of 38.60 [2]. - Flantak: EPS of 0.60 yuan in 2025E, PE of 18.12 [2]. - Xinjie Electric: EPS of 1.83 yuan in 2025E, PE of 34.64 [2]. - Oke Yi: EPS of 0.71 yuan in 2025E, PE of 32.04 [2]. - Lanjian Intelligent: EPS of 1.50 yuan in 2025E, PE of 25.98 [2]. Market Performance - The mechanical sector has shown a 1.5% increase in the past week, while the overall market performance of the Shanghai Composite Index was -1.3% [10][15]. - Among sub-sectors, boiler equipment had the highest increase at 12.3%, while shipbuilding had the lowest at -4.0% [11]. Investment Recommendations - The report emphasizes the importance of focusing on companies in various sectors, including industrial control, robotics, machine tools, and testing industries, suggesting a broad range of investment opportunities [6][21].

Investment Rating - The report maintains a "Buy" rating for the agricultural sector [1] Core Insights - The USDA has revised down the global corn production forecast while increasing the consumption forecast, indicating a tightening supply situation [4][7] - The report highlights stable production and consumption forecasts for China's corn and soybean, with slight adjustments in global supply and demand dynamics [4][10][23] Summary by Sections Corn - Global corn production for the 2024/25 year is adjusted down to 128.6 million tons, a decrease of 0.16% from previous estimates, while consumption is projected to rise to 128.9 million tons [7][10] - The global corn stock-to-use ratio is forecasted to decline to 21.82%, reflecting tighter supply conditions [7] - In China, corn production is expected to remain stable at 29.5 million tons, with consumption also stable at 32.1 million tons, leading to a stock-to-use ratio of 55.16% [10] Soybeans - Global soybean production is forecasted at 42.5 million tons, down 0.12%, with consumption slightly reduced to 42.3 million tons, resulting in a stock-to-use ratio of 29.25% [17][23] - China's soybean production remains stable at 21 million tons, with imports and consumption also unchanged, maintaining a stock-to-use ratio of 32.62% [23] Wheat - Global wheat production is projected to increase to 81.6 million tons, with consumption rising to 81.4 million tons, leading to a stock-to-use ratio of 32.42% [29] - In China, wheat production is expected to hold steady at 14 million tons, with a stable stock-to-use ratio of 84.31% [35] Rice - Global rice production is adjusted down to 54.1 million tons, while consumption is expected to rise to 54.2 million tons, resulting in a stock-to-use ratio of 34.54% [39] - China's rice production and consumption forecasts remain stable, with a stock-to-use ratio of 71.23% [39]

Investment Rating - The report maintains a "Recommendation" rating for the communication industry, expecting the industry index to outperform the benchmark index by more than 5% in the next 3-6 months [27]. Core Insights - The communication industry has shown a significant increase of 64.09% year-to-date, outperforming the Shanghai and Shenzhen 300 index by 49.68 percentage points [8][9]. - Huawei's recent announcements at the All-Connect Conference focus on "super nodes + cluster scaling" and self-developed HBM technology, aiming to meet the demands of large model training and inference [15][16]. - The successful launch of the satellite internet technology test satellite indicates a growing opportunity in the satellite industry chain, with a recommendation to focus on key players in the satellite communication sector [20]. Summary by Sections Industry Overview - The communication industry consists of 123 listed companies with a total market capitalization of approximately 49,248.97 billion and a circulating market value of about 23,006.93 billion [3]. - The industry has ranked 9th in weekly performance among all primary sectors, while it ranks 1st for the year [9]. Stock Performance - The communication sector's absolute performance over the past month, six months, and twelve months is 8.7%, 18.6%, and 30.5% respectively, with a relative performance of 4.9%, 11.2%, and 13.5% [4]. - The top five gainers in the communication sector this week include Dekeli (+59.09%), Junsheng Electronics (+44.25%), and Changfei Fiber (+35.07%) [12]. Key Recommendations - Key operators recommended include China Mobile, China Telecom, and China Unicom [21]. - In the satellite communication sector, recommended companies include Haige Communication, Shanghai Hanhua, and Qiyi Two [21]. - The report suggests focusing on companies in the domestic computing power sector, such as Huawei, Alibaba, and Cambrian [17].

Investment Rating - The report maintains a "Buy" recommendation for the automotive sector, particularly focusing on Tesla's robotics chain and related technologies [2][3]. Core Insights - The automotive sector is witnessing significant opportunities in robotics, AI/Intelligent driving, and liquid cooling technologies, with a bullish market backdrop. The current technical routes for Tesla's robotics are still being defined, and future catalysts are expected to be abundant [2][3]. - The report emphasizes the importance of monitoring leading companies and new opportunities in the sector, suggesting that adjustments have made it more suitable for investment [2][3]. Data Tracking - In August, new energy vehicle deliveries showed significant growth, with BYD delivering 374,000 units (+0.1% YoY, +8.5% MoM), Leap Motor at 57,000 units (+88% YoY, +14% MoM), and Xpeng at 38,000 units (+170% YoY, +2.7% MoM) [4][23]. - Traditional automakers also reported strong sales, with SAIC Group at 363,000 units (+41% YoY, +7.7% MoM) and Geely at 250,000 units (+38% YoY, +5.2% MoM) [4][26]. - The average discount rate in early September was 9.2%, down 1.1 percentage points from late August, with an average discount amount of 21,492 yuan [4][10]. Industry Research - Recommendations for automotive parts and robotics include top companies like Top Group, Yinlun, and Haoneng, with additional attention to Junsheng Electronics and Fosa Technology [7]. - In AI/Intelligent driving, Horizon Robotics is highlighted, with a focus on companies like Hesai Technology and Nexperia, expected to benefit from L4 developments [7]. - Liquid cooling technology recommendations include Yinlun and Lingyun [7]. - For complete vehicles, the report suggests waiting for beta stocks while recommending Jianghuai and Li Auto [7]. - Heavy-duty trucks continue to show strong data, with recommendations for Weichai Power and China National Heavy Duty Truck [7]. Market Performance - The automotive sector saw a weekly increase of 3.43%, ranking 4th out of 29 sectors. The overall market performance showed the Shanghai Composite Index down 1.30%, while the automotive index rose [10][36]. - The report notes that 143 stocks in the automotive sector rose, while 136 fell, indicating a generally positive sentiment [36]. Industry News - The Ministry of Industry and Information Technology released a plan to boost automotive consumption, emphasizing the importance of trade-in programs and second-hand vehicle sales [32]. - New models such as the Enjoy S9T and Geely Galaxy M9 were launched, showcasing advancements in electric and hybrid technologies [32][34].

Group 1: Industry Overview - The food and beverage industry is experiencing a gradual supply-demand turning point, with structural highlights emerging [4][6] - The overall market performance shows a total market value of 48,501.92 billion, with a circulating market value of 47,287.20 billion [2] - The absolute performance over the last 12 months is 25.0%, while the relative performance has decreased by 17.6% [2] Group 2: Wine Sector Insights - Demand for wine has improved on a month-on-month basis, although there is still a year-on-year decline [4][6] - Wine companies are pragmatically adjusting growth targets, focusing on channel health and providing support to improve channel profits [4][6] - The report suggests paying attention to the health of channels and the quality of receivables as companies are expected to release operational pressure in the second half of the year [4][6] Group 3: Consumer Goods Sector Insights - Traditional leading brands in the consumer goods sector are emerging from the bottom, with clear trends in industry prosperity [4][6] - The dairy industry is facing ongoing supply-demand contradictions, with expectations for gradual bottoming out in 2026 [6][9] - Companies like Chongqing Beer are exploring new growth avenues while maintaining stable operational strategies [6][9] Group 4: Investment Recommendations - Emphasis on the bottom-catalyzing of the wine sector and selective investment in consumer goods based on industry trends [10][12] - Recommendations include focusing on companies with strong performance and those undergoing significant transformations, such as Moutai and Gujing [10][12] - In the consumer goods sector, strategic recommendations include investing in yeast products and the yellow wine market, which is expected to see significant growth [10][12]

Group 1 - The report indicates that the credit bond market is experiencing a divergence in trends, with most credit bond yields rising and credit spreads showing mixed performance, particularly in the short-end segment [10][21] - It is suggested to focus on the 2-3 year credit bonds for yield opportunities, as their spreads are higher than the lowest points in 2024 and lower than the average spread since 2024, indicating potential for value [12][21] - The report highlights that the financial bonds have shown some recovery after significant adjustments, but the sentiment remains cautious with limited room for bullish positions [10][21] Group 2 - Key policies include the announcement of a loan from Shenzhen Metro Group to Vanke for debt repayment, totaling up to 2.064 billion yuan, with cumulative loans since 2025 reaching 25.941 billion yuan [3][14] - The Ministry of Finance reported that from January to August, the national general public budget revenue was 1.48198 trillion yuan, a year-on-year increase of 0.3%, with tax revenue slightly up by 0.02% [15][20] - The central bank is guiding commercial banks to provide loans to state-owned enterprises and financing platforms to settle overdue accounts, with a total debt scale of approximately 1.8 trillion yuan [4][16] Group 3 - The report notes that the secondary market for credit bonds is active, with a significant increase in trading volume observed [21] - The report emphasizes the importance of monitoring the adjustments in the credit bond market, particularly in the context of the upcoming policy changes and market conditions [10][21] - The report also mentions that the Shanghai Stock Exchange has optimized the bond repurchase business to stabilize market prices, which may lead to a narrowing of spreads for lower-rated bonds [4][13]

Investment Rating - The insurance industry is rated as "Recommended," with expectations for the industry index to exceed the benchmark index by more than 5% in the next 3-6 months [21]. Core Insights - August saw significant growth in life insurance, but September's growth may face pressure due to high base effects and the impact of the upcoming adjustment in the preset interest rate [4][6]. - The insurance sector experienced a decline, with the insurance index dropping by 4.8%, underperforming the broader market by 4.36 percentage points [1]. - The report highlights that the transition from the "2.5% era" to the "2.0% era" in preset interest rates is expected to benefit sales in the short term, with a notable increase in monthly premiums [4]. Summary by Sections Weekly Dynamics - China Pacific Insurance, New China Life, and ZhongAn Online have disclosed their premium announcements for January to August 2025 [2]. - China Pacific Insurance's share transfer actions were noted, with significant stakes being transferred to Shanghai Jiushi and Shanghai Electric [2]. Premium Analysis for Listed Insurance Companies - China Pacific Insurance reported a cumulative premium of 359.9 billion yuan from January to August 2025, a year-on-year increase of 7.8% [3]. - New China Life's cumulative life insurance premium reached 158.1 billion yuan, up 21.3% year-on-year [3]. - ZhongAn Online's cumulative premium was 23.6 billion yuan, reflecting a year-on-year increase of 6.4% [3]. Investment Recommendations - The report suggests that despite recent adjustments in the insurance sector, there are opportunities for structural market movements that could lead to better-than-expected performance for some flexible insurers [4]. - The report recommends China Pacific Insurance, China Life H, China Re H, and Sunshine Insurance H, with specific recommendations based on market conditions [5].

1. Report Industry Investment Rating No relevant content provided. 2. Core View of the Report - In the context of relatively high maturity pressure at the end of the quarter, the issuance of certificates of deposit (CDs) was relatively active this week, with an increase in long - term issuance leading to a slight lengthening of the term structure. After entering October, the maturity pressure is relatively small, and the renewal pressure may ease. - On the demand side, wealth management products remain the main support for allocation, while rural commercial banks are accelerating their reduction. With limited incremental allocation at the end of the quarter, the pricing of CDs has increased slightly. - In terms of funds, the 7D and 14D reverse repurchases at the end of the quarter may maintain relatively active placements, and the MLF may continue with a small net placement. It is expected that the risk of a tightened funds market is limited. - For CDs, with relatively active supply, constraints on funds, and limited support on the demand side, the pricing of 1 - year national and joint - stock bank CDs at the end of the quarter may fluctuate within a narrow range of 1.65 - 1.7%. After the quarter - end in October, the supply - demand pattern may ease. The key lies in the rhythm of wealth management product allocation. If there is early "grabbing for allocation" like in June and the growth of wealth management product scale in October is weaker than in April and July, the support for the CD market at the beginning of October may be relatively limited, and the 1 - year national and joint - stock bank CDs may slightly recover to around 1.6% [2][48]. 3. Summary According to the Table of Contents Supply: Net Financing Turns Positive, and the Term Structure Lengthens - This week (September 15 - 21), the CD issuance scale was 984.41 billion yuan, and the net financing amount was 134.36 billion yuan (compared with - 468.01 billion yuan from September 8 - 14). - In terms of supply structure, the issuance proportion of state - owned banks increased from 31% to 46%, while that of joint - stock banks decreased from 31% to 20%. - In terms of terms, the issuance proportion of 1 - year CDs increased from 15% to 23%. The weighted issuance term of CDs expanded to 6.40 months (previously 5.86 months). - Next week (September 22 - 28), the maturity scale will rise slightly to 968 billion yuan, a weekly increase of 117.95 billion yuan [2][5]. Demand: Wealth Management Products Are the Main Force in Secondary Allocation, and the Primary Market Subscription Rate Rises Slightly - In terms of secondary - market allocation institutions, state - owned banks and other product categories are the main forces in the secondary market, with weekly net purchases of 39.351 billion yuan and 50.213 billion yuan respectively. Money market funds changed from net selling of 21.016 billion yuan to net buying of 2.446 billion yuan. - In the primary market, the overall market subscription rate (15DMA) rose slightly to around 90%. By institution, the subscription rate of city commercial banks increased from 87% to 90%, that of joint - stock banks decreased from 94% to 93%, and that of state - owned banks increased from 82% to 85% [2][17]. Valuation: Primary - Market Pricing of CDs Increases Slightly, and Secondary - Market Yields Decline - In primary - market pricing, the central bank's supportive attitude continues. The issuance rate of 1 - year national and joint - stock bank CDs increased slightly to around 1.68%. Specifically, the rates of 3 - month and 6 - month varieties increased by 1bp compared with last week, the 1 - month variety increased by 3bp, the 9 - month variety increased by 2bp, and the 1 - year variety remained stable. - In terms of term spreads, the 1Y - 3M term spread of joint - stock banks fluctuated slightly, at the 23% historical quantile. - In terms of credit spreads, the spread between 1 - year city commercial banks and joint - stock banks narrowed from 10.27BP to 8.43BP, at around the 8% quantile, and the spread between rural commercial banks and joint - stock banks narrowed from 16.33BP to 7.19BP, close to the 11% quantile. - In the secondary market, the yields of AAA - rated CDs increased slightly. The 1 - month variety increased by 2bp compared with last week, the 3 - month, 6 - month, and 1 - year varieties increased by 1bp, and the 9 - month variety remained the same as last week. The 1Y - 3M term spread of AAA - rated CDs decreased slightly to the 24% historical quantile [2][21][29]. Comparison: The Spread between CDs and Funds Widens Slightly in Some Areas - The spread between the 1 - year AAA - rated CD yield and the 15 - day moving average of DR007 widened from 19.42BP to 19.87BP; the spread with the 15 - day moving average of R007 widened from 17.49BP to 18.63BP. - The yield of 1 - year treasury bonds decreased by 1bp, and the spread between CDs and treasury bonds widened from 27.00BP to 28.50BP, with the quantile rising to around 12%. - The spread between CDs and China Development Bank bonds narrowed from 9.20BP to 4.86BP, with the quantile dropping to 0%. - The spread between AAA - rated medium - and short - term commercial paper and CDs widened from 7.36BP to 8.54BP, with the quantile rising to 40% [35].