Core Viewpoint - The A-share market experienced mixed performance with the Shanghai Composite Index rising by 0.21% while the Shenzhen Component and ChiNext Index fell by 0.32% and 0.58% respectively, indicating a narrow fluctuation in the market [1] Market Performance - As of the midday close, the Shanghai Composite Index increased by 0.21%, while the Shenzhen Component decreased by 0.32% and the ChiNext Index fell by 0.58% [1] - The total trading volume in the Shanghai and Shenzhen markets reached approximately 960.62 billion yuan, an increase of about 46.33 billion yuan compared to the previous trading day [1] Sector Performance - The banking sector showed a collective rebound, with stocks like China Construction Bank reaching new historical highs [1] - In contrast, stablecoin concept stocks continued to decline, with Hopu Co., Ltd. dropping over 10% [1] - The solid-state battery sector underwent adjustments, with Yinglian Co., Ltd. hitting the daily limit down [1] - Sectors that performed well included shipbuilding, photolithography machines, banking, and innovative pharmaceuticals, while sectors that saw declines included diversified finance, cross-border payments, solid-state batteries, and copper cable high-speed connections [1]

Market Performance - The Shanghai Composite Index closed at 3455.97 points, up 1.03%, with a trading volume of approximately 620.2 billion [2] - The Shenzhen Component Index closed at 10393.72 points, up 1.72%, with a trading volume of approximately 982.6 billion [2] - The ChiNext Index closed at 2128.39 points, up 3.11%, with a trading volume of approximately 518.4 billion [2] - The STAR Market Index closed at 1217.09 points, up 1.58%, with a trading volume of approximately 119.7 billion [2] - The North Securities 50 Index closed at 1437.63 points, up 1.38%, with a trading volume of approximately 37 billion [2] Sector Performance - The military trade concept and diversified financial sectors led the gains, with significant increases in sectors such as securities, software services, digital currency, cross-border payments, military information technology, aviation, MCU chips, AI, shipping, and mixed reality [1] - Conversely, sectors such as oil and gas extraction, port shipping, and lithium mining experienced notable declines [1] Investment Insights - The market's activity has increased following the Shanghai Composite Index surpassing 3400 points, with rapid sector rotation observed [2] - Long-term trends suggest that under policy stimulus, the A-share market is expected to align with economic growth, indicating potential upward turning points [2] - Recommended investment areas include high-growth sectors such as semiconductors, consumer electronics, artificial intelligence, and robotics [2] Industry Developments - The military industry is experiencing a robust order backlog, with companies accelerating production and delivery, indicating sustained high demand in the second half of the year [2] - The military sector is preparing for the "14th Five-Year Plan" completion and the upcoming "15th Five-Year Plan," which is expected to usher in a new development phase for the industry [2] Technology Sector Updates - The DDR4 memory market has seen a price increase of 9%-37% month-on-month in May, with a further increase of 17%-37% in June [3] - Major storage manufacturers are expected to see revenue growth in the second quarter, with a potential profitability turning point for storage module manufacturers [3] - The approval of a license upgrade for Guotai Junan International allows it to provide comprehensive virtual asset trading services, making it the first Chinese broker in Hong Kong to offer such services [3]

Group 1 - The multi-financial concept is gaining strength, with companies such as Xiangyi Rongtong (600830) and Nanhua Futures (603093) hitting the daily limit up [1] - Other companies like Luxin Venture Capital (600783), Sichuan Shuangma (000935), Xinli Finance (600318), and Zhongyou Capital (000617) are also experiencing upward movement [1]

Group 1 - The U.S. trade deficit expanded to a record high of $140.5 billion in March, leading to a decline in the dollar index by 0.54% to 99.24 [2][12] - Gold prices surged nearly $100, closing up 2.85% at $3431.11 per ounce, while silver rose 2.33% to $33.22 per ounce due to potential U.S. tariffs on imported drugs [2][6] - International oil prices increased significantly, with WTI crude oil rising 3.18% to $58.97 per barrel and Brent crude oil up 2.84% to $62.01 per barrel, driven by increased demand from Asia and Europe and a decrease in U.S. production [3][6] Group 2 - The Hong Kong stock market opened higher, with the Hang Seng Index closing up 0.7% at 22662.71, supported by strong performances in aviation, non-alcoholic beverages, and local consumption stocks [4][6] - The A-share market saw all three major indices rise, with the Shanghai Composite Index up 1.13% and the Shenzhen Component Index up 1.84%, driven by significant gains in sectors like controlled nuclear fusion and rare earth permanent magnets [5][6] - The Nasdaq China Golden Dragon Index increased by 0.4%, with Alibaba rising 0.8% and Baozun up 7.7%, indicating positive sentiment in Chinese tech stocks [3][6]