Core Viewpoint - Recent easing of various market disturbances is expected to lead to a recovery in Chinese assets, supported by the Federal Reserve's dovish signals and the alleviation of concerns regarding the "AI bubble" [1] Group 1: Market Conditions - The Federal Reserve's statements and economic data have increased expectations for a rate cut, with an 86% probability for a 25 basis point cut in December [2] - The global AI industry's progress is alleviating concerns about an "AI bubble," with Google's comprehensive approach to AI leading the narrative in the tech sector [1] Group 2: Year-End Market Dynamics - The year-end period is historically a significant window for market rallies, with previous years showing upward trends starting from November to early January [3] - Factors driving these rallies include a vacuum in fundamental data, upcoming important meetings, and expectations for policy easing [3] Group 3: Catalysts for Market Movements - Market rallies can be triggered by three main factors: 1. Economic improvement leading to a pro-cyclical style [4] 2. Unexpected macro policy changes benefiting high-elasticity sectors [4] 3. Easing of prior risks and liquidity expansion favoring sectors with favorable trends [4] Group 4: Investment Directions - Focus on sectors with high growth expectations, including AI, advantageous manufacturing, "anti-involution," and structural recovery in domestic demand [7] - Emphasis on cyclical sectors benefiting from stable growth policies and market expectations [10] Group 5: Policy and Economic Outlook - The year-end meetings are expected to provide clarity on policies aimed at enhancing service consumption and investment in human capital, which could benefit cyclical sectors [10] - The emphasis on technological self-reliance and new productivity in the context of national competition is likely to drive growth in tech sectors [13]

Group 1 - The week of November 24-30 will see the release of China's October industrial profits and November official manufacturing PMI data [1] - Several Chinese concept stocks will disclose their Q3 earnings, including Alibaba, Meituan, Li Auto, and NIO [1] - Huawei will hold a product launch event for the Mate80 series and a new GPU from the first domestic GPU company, Moer Thread, will be available for subscription [1] Group 2 - On November 24, domestic refined oil will enter a new round of price adjustment [1] - On November 25, Huawei's product launch will feature the Mate80 series and new Kirin chips, alongside the release of the US September PPI year-on-year [1] - On November 26, the US Department of Commerce will release the revised Q3 GDP, personal income, spending, and PCE price index for October [1] Group 3 - A total of 38 stocks will face the unlocking of restricted shares this week, with a total unlocking volume of 1.914 billion shares, valued at 21.305 billion yuan [1] - The top three companies by unlocking market value are China Southern Airlines (5.689 billion yuan), Feiling Technology (1.871 billion yuan), and Huaton Co., Ltd. (1.742 billion yuan) [2] Group 4 - The National Internet Information Office and the Ministry of Public Security have drafted regulations for personal information protection on large online platforms, seeking public opinion [3] - The regulations require platform providers to designate a personal information protection officer and establish a dedicated protection work unit [3] Group 5 - China Tourism Group is leading the establishment of a new central enterprise for cruise operations, following a meeting organized by the State-owned Assets Supervision and Administration Commission [4] - The new cruise operation platform will have the largest fleet in Asia after the professional integration [4] Group 6 - Beijing is revising the model contracts for commodity housing sales for the first time in eight years, aiming to protect buyers' rights [4] - The revised contracts will clarify the importance of pre-registration and streamline the process to prevent issues like "one house sold multiple times" [4] Group 7 - The first large-capacity all-solid-state battery production line in China has been completed and is currently in small-batch testing [5] - The new battery technology reportedly has an energy density nearly double that of existing batteries, with plans for small-batch vehicle testing by 2026 [5] Group 8 - The Ministry of Finance has announced that electronic savings bonds will be included in the personal pension product range [6] - Institutions will adjust the allocation ratio of pension-specific quotas quarterly based on the amount of unsold savings bonds [6] Group 9 - China has officially launched a commercial trial for satellite IoT services, which will enhance the satellite communication market and support emerging industries [7] Group 10 - Wentech Technology has urged Nexperia Netherlands to resolve control issues that threaten the stability of the global semiconductor supply chain [8] - The company emphasizes the need for constructive dialogue to restore its legitimate control and shareholder rights [8] Group 11 - The US and Ukraine are set to hold talks in Switzerland regarding a peace plan to end the conflict, with Ukraine aiming for a dignified resolution [9] - This week, two new stocks will be issued on the A-share market, including Moer Thread and Bai Ao Sai Tu [9]

Core Viewpoints - Current risk release provides an opportunity for reallocating A-shares and Hong Kong stocks by year-end and planning for 2026 [2] - The AI sector is experiencing a "darkest hour," but long-term confidence remains unwavering [4] - The adjustment phase is merely a "doubtful bull market level" [11] Industry Insights - Focus on resource and traditional manufacturing opportunities, particularly in chemicals, non-ferrous metals, and new energy [3] - The AI industry is expected to continue its growth trajectory, with significant valuation growth potential for A-share companies [8] - The market is likely to experience a style switch, with increasing attention on low-valued sectors [6] Investment Recommendations - Emphasize sectors benefiting from physical asset consumption, such as upstream resources (copper, aluminum, lithium, oil, coal) and midstream industries [5] - Maintain a balanced allocation between growth sectors and undervalued value industries, particularly in the consumer sector as year-end approaches [10] - Focus on AI applications and sectors closely related to the "14th Five-Year Plan," such as hydrogen energy, nuclear energy, and quantum technology [14]

Group 1 - The core viewpoint of the article highlights the performance of the Hongde Research Preferred Mixed Fund, which achieved a net value growth rate of 7.60% in the first half of 2025, significantly outperforming the benchmark return of 0.11% during the same period [1] - Since its establishment on May 27, 2019, the fund has accumulated a net value growth rate of 81.69%, compared to a benchmark return of 11.79% [1] Group 2 - The fund manager, Wang Keyu, noted that since the second half of 2021, the continuous decline in the real estate sector has negatively impacted consumer confidence and government spending, leading to deteriorating profits in certain domestic demand industries reliant on land resources and real estate [3] - Wang Keyu emphasized that the trend of reduction and optimization will be a long-term development direction for some industries, while many listed companies have been enhancing their competitive advantages within the supply chain and improving their international operational capabilities [3] - Since mid-2024, there has been a significant improvement in domestic financial policies, with a focus on enhancing investor returns and improving the quality of listed companies [3] Group 3 - Wang Keyu believes that the cyclical factors of economic activities reaching a bottom, along with major policy shifts in finance and industry, will create opportunities for domestic demand to rebound [4] - However, uncertainties such as tariffs and trade barriers may lead to significant fluctuations in external demand, and high volatility in financial markets may occur intermittently [4] - The investment strategy will focus on sectors such as advantageous manufacturing, pharmaceuticals, and TMT, while also seeking cost-effective investment opportunities in infrastructure assets [4]