SWHY(SZ:000166)2025-06-07 13:19Group 1 - The report discusses the conditions for breaking through the consolidation range in the market, indicating that historically, the end of a bear market often leads to a consolidation phase before a bull market begins. The conditions for breaking through this range align with those for confirming a bull market [3][4][7]. - Since 2024, the A-share index has established a new consolidation range, with historical examples showing that once this range is broken, it typically signals the start of a major bull market. The report emphasizes the need for three key elements: continuous inflow of incremental capital, cyclical and structural improvements in the fundamentals, and optimistic expectations for a bull market [4][8][9]. Group 2 - The short-term rebound in the A-share market is supported by a "wall of isolation" against macroeconomic disturbances, which reduces significant downside risks. This environment allows the market to attempt structural breakthroughs, particularly in new consumption and technology sectors [11][12]. - Core targets within the new consumption sector, such as jewelry, trendy IP toys, new snacks, and beauty products, continue to thrive within their respective growth trends. However, the report advises caution regarding the broader consumption expansion, as significant profit effects in new consumption often signal short-term adjustments [12][17]. Group 3 - The report maintains a mid-term structural view that the A-share market will return to a structural bull phase, relying on breakthroughs in technology sectors. Short-term rebounds in technology stocks are noted, but the market has not yet escaped the adjustment phase [12][19]. - The report highlights that new consumption is creating demand and is a key trend as household spending patterns shift. The expansion of new consumption into the broader consumption landscape is seen as a rational outcome based on fundamental trends, but caution is advised regarding the sustainability of this expansion [12][17].