Zhong Guo Ji Jin Bao·2025-11-21 08:28Market Overview - On November 21, A-shares experienced a significant decline, with the Shanghai Composite Index dropping by 2.45%, the Shenzhen Component Index falling by 3.41%, and the ChiNext Index decreasing by 4.02% [1] - A total of 354 stocks rose, 33 stocks hit the daily limit up, while 5072 stocks fell, with 99 stocks hitting the daily limit down [2] Stock Performance - The AI application sector showed resilience amid the market downturn, with stocks like Vision China (000681) and Jiuxi Software (002279) hitting the daily limit up [4] - The military industry sector was also active, with Longxi Co. (600592) hitting the daily limit up and Jiuzhiyang (300516) rising over 10% [6] - Conversely, lithium mining stocks faced a collective decline, with companies such as Tianqi Lithium (002466) and Ganfeng Lithium (002460) hitting the daily limit down [8] - The storage chip sector saw significant adjustments, with stocks like Demingli (001309) and Dagang Co. (002077) hitting the daily limit down [10] Market Sentiment and Influences - The sharp decline in the market was influenced by a significant drop in the US stock market overnight, which affected investor sentiment across Asia-Pacific markets [12] - Concerns over high valuations and heavy capital expenditures by tech giants contributed to the market's cautious mood, with Nvidia's stock dropping by 3.2% following optimistic earnings expectations [13] - The recent statements from multiple Federal Reserve officials regarding the caution against premature interest rate cuts have further fueled uncertainty in the market [13] - Analysts view the current market correction as a technical adjustment rather than the beginning of a prolonged downturn, despite rising volatility [13] Broader Economic Context - The US stock market's decline lacked a clear trigger, with various explanations emerging, including doubts about the profitability of AI projects and a strong employment report that suggested the Fed's rate cuts may have peaked [14] - The drop in Bitcoin to a six-month low also signaled a risk-off sentiment among investors, contributing to the overall market decline [14]