Mei Ri Jing Ji Xin Wen·2025-11-18 01:06Core Viewpoint - The semiconductor industry is experiencing high demand and capacity utilization, with companies like SMIC reporting a utilization rate of 95.8% in Q3, indicating a supply-demand imbalance and sustained high prices [2]. Industry Insights - SMIC has reported a strong order book, particularly in analog and memory chips, including NOR/NAND Flash and MCU, amidst a supply shortage in the industry [2]. - The S&P 500 index fell by 0.92% and the Nasdaq by 0.84%, with major tech stocks like Dell and AMD experiencing significant declines, indicating market pressure on tech stocks, particularly those related to AI [2]. - Morgan Stanley has downgraded several equipment manufacturers due to expected profit compression from rising storage chip prices and continued price increases into 2026 [2]. - The semiconductor industry in China is expected to accelerate its domestic production efforts, driven by positive demand from AIGC and consumer sectors, alongside a wave of mergers and acquisitions [3]. - Relevant ETFs, such as the Sci-Tech Semiconductor ETF, focus on semiconductor equipment and materials, which are crucial for domestic substitution and are expected to benefit from the AI-driven demand expansion [3].