Group 1 - The market is gradually shifting towards a bullish mindset, with higher risk tolerance funds showing significant net inflows in July, while lower risk tolerance funds are actively seeking structural opportunities in underpriced segments [1] - In July, higher risk tolerance funds' net inflows were primarily from leveraged funds and private equity, while ETFs experienced net outflows, particularly in broad market ETFs, with thematic ETFs contributing positively [1] - Insurance funds continue to increase their allocation to equity assets, expanding from narrow dividend assets to a broader range of dividend assets [1] Group 2 - The issuance and redemption of actively managed equity funds showed marginal improvement in July, indicating a potential exit from the low point of the funding cycle [2][5] - The net inflow of leveraged funds accelerated in July, with a notable increase in margin trading balances, surpassing 2 trillion yuan for the first time since 2015 [23] - Insurance capital has become a significant incremental funding source in the capital market, with stock holdings reaching the highest proportion recorded [27][28] Group 3 - Foreign capital turned net inflow in July, with overseas funds investing 20 billion yuan in A-shares, primarily through passive funds [36] - Private equity fund management scale and stock long positions have both increased significantly, indicating a bullish sentiment among private equity investors [41] - The number of new A-share accounts increased in July, but the growth rate was relatively slow compared to earlier in the year, suggesting that individual investors are not the main incremental funding source in the current market [44] Group 4 - The IPO and refinancing scale of listed companies showed a noticeable increase in July, although the overall financing level remains low compared to previous bull markets [47] - Industrial capital net reduction increased in July, indicating a trend of selling pressure from corporate insiders [52]

Market Overview - The Shanghai Composite Index rose by 0.2% on Thursday, while the CSI 300 remained flat compared to Wednesday. The STAR Market 50 index fell by 0.2%, the CSI 1000 was unchanged, and the ChiNext index decreased by 0.7%. The Hang Seng Index increased by 0.7% [3][4] - The best-performing sectors on Thursday included non-ferrous metals (+1.2%), beauty and personal care (+1.0%), real estate (+0.8%), textiles and apparel (+0.8%), and transportation (+0.7%). The worst-performing sectors were pharmaceuticals and biology (-0.9%), electric power equipment (-0.7%), telecommunications (-0.5%), defense and military industry (-0.4%), and home appliances (-0.3%) [3][4] - The total trading volume in the Shanghai and Shenzhen markets was 18,255 billion, with a net inflow of 661 million Hong Kong dollars from southbound funds [3][4] Key Insights on White Goods Industry - The valuation of leading companies in the white goods sector is currently at a low level not seen since 2010. While the valuation of the CSI 300 has increased this year, the valuation of white goods has decreased [5] - Despite a marginal decline in short-term industry prosperity, the long-term growth potential remains intact. An increase in dividend rates and a potential decline in government bond yields may support a phase-wise recovery in white goods valuations [5] - Historical data shows that during the bull market from March 12, 2024, to June 12, 2015, the cumulative growth of the three leading white goods companies lagged behind the CSI 300 and the Shanghai Composite Index. However, during rapid index growth phases, these companies outperformed. The valuation rebound began in November 2014, driven by capital market factors rather than fundamental signals [5][6] - The current PE-TTM of Midea Group has started to fall below the valuation of the CSI 300, indicating a potential investment opportunity [5]

Core Viewpoint - The current A-share market is characterized as a "slowly rising oscillating market" with a long-term optimistic outlook for index breakthroughs despite existing divergences [1] Market Analysis - The market has broken through key levels, indicating a potential for long-term growth [1] - There is a recommendation to adopt a "bull market mindset" while maintaining a cautious approach typical of a "slowly rising oscillating market" [1] Investment Strategy - It is advised not to blindly chase high prices in trading and allocation [1] - The focus is on growth sectors, which are expected to outperform when market risk appetite is high [1] Sector Preferences - Recommended sectors for allocation include technology, military industry, finance, DeltaG consumption, stable dividend stocks, and gold [1]

Group 1 - The report maintains an optimistic long-term outlook for the index, suggesting a "slowly rising oscillating market" pattern, with short-term risks of adjustment as the index approaches key levels [2][11][19] - There are two main doubts regarding the market breakthrough: "the fundamentals have not yet bottomed" and "the fiscal support for anti-involution is weak" [12][30] - The central Huijin is identified as a core driving force behind the current market breakthrough, providing stability and support through sustained long-term capital inflows [13][19] Group 2 - The trading heat is currently high, with a significant number of industries showing increased trading activity, particularly in anti-involution sectors [20][21] - The report highlights that the trading volume in several anti-involution industries has surpassed warning thresholds, indicating heightened market activity [23][28] - The report notes that while the overall trading heat is elevated, it does not necessarily indicate the end of the market rally, as seen in previous years [21][30] Group 3 - The anti-involution market phase is characterized by skepticism regarding the strength of fiscal support, despite recent policy changes that may extend the definition of anti-involution [30][31] - Future prospects for the anti-involution market depend on the strength of demand-side policies; insufficient support may lead to a temporary rebound rather than a sustained reversal [34][35] - The report outlines three advantages driving the anti-involution trend: high-level policy attention, clean chip distribution in industries, and increased market risk appetite [31][32] Group 4 - The report recommends a diversified investment strategy focusing on technology, military, finance, and stable dividend stocks, alongside gold [35][36] - Specific sectors highlighted for investment include AI, robotics, semiconductors, and consumer goods, with an emphasis on areas showing marginal improvement in profit growth [36][37] - The report suggests that the current market environment requires a "bull market mindset" while maintaining a cautious approach to avoid blind chasing of highs [35][36]

Core Viewpoint - The market is at a critical point to test the validity of "bull market thinking" as it approaches the third quarter, with expectations for increased capital inflow and sector performance [1][11][13]. Group 1: Sector Performance - In Q2, the sectors with the highest increase in active equity fund allocations, excluding stock price factors, were communication, military industry, and non-bank financials, while the sectors with the most significant reductions were food and beverage, automotive, and electrical equipment [2][4]. - The AI computing power chain (including optical modules and PCBs) has once again become a consensus direction for institutional accumulation, marking the sixth time the TMT sector has been the top area for public fund accumulation in a single quarter since the AI wave began in 2023 [1][11]. - The non-bank sector (insurance and brokerage) also ranked among the top three for public fund accumulation in Q2, reflecting expectations for increased market participation despite no significant improvement in the economic fundamentals [1][13]. Group 2: Fund Allocation Insights - The report indicates a significant increase in the allocation to Hong Kong stocks, reaching a record high of 19.7%, with a focus on innovative drugs and a reduction in automotive sector investments [16]. - The technology chain primarily focused on increasing positions in computing power, particularly in sectors with high confidence in immediate fundamentals, such as optical modules and PCBs [17]. - The report highlights a shift in institutional preferences towards "new consumption" core stocks, indicating a change in aesthetic appreciation between new and old consumption sectors [17]. Group 3: Historical Context and Trends - Since Q4 2021, sectors with the highest single-quarter increases in holdings often see their stock price performance rank in the middle to lower tier in the following quarter, suggesting a potential overextension of market expectations [5][9]. - The report suggests that if the relevant sectors can continue to perform well in Q3 and Q4, it would indicate that the current "bull market thinking" is gradually solidifying [11][13].

Core Viewpoint - The article discusses the transition from a bear market mentality to a bull market mentality in the A-share market, emphasizing the importance of adapting to new market conditions and the potential for sustained growth [4][9][22]. Market Performance - The A-share market has shown a continuous upward trend, with a 0.43% increase on Friday, marking four consecutive weeks of gains and approaching the high point from the "9·24" market [3]. - The 14-day RSI index has recently reached 77.25, breaking through the critical 70-point level, indicating a shift towards a bull market [4][8]. Market Sentiment - Historically, the A-share market has been characterized by a bear market mentality, with the 14-day RSI often remaining below 70, reflecting a cautious investor sentiment [7][12]. - The current market shows signs of a changing sentiment, as investors appear to be overcoming their "fear of heights," which is a sign of emerging bull market thinking [14][16]. Bull Market Characteristics - A true bull market mentality involves not only accepting new highs but also managing pullbacks effectively, with the ideal scenario being a maximum decline of 10-15% [17][19]. - The article highlights that the depth and duration of any upcoming pullbacks will be crucial in determining whether the current market trend is a sustainable bull market or just a temporary spike [21][23]. Investment Strategy - Investors are encouraged to gradually adapt to the bull market rhythm, fostering patience and confidence while maintaining a respectful awareness of market dynamics [22]. - The article suggests using observable indicators, such as the RSI and drawdown levels, to objectively assess market strength rather than relying on subjective optimism [22].

Core Insights - The report highlights the performance of actively managed equity funds in the second quarter of 2025, showing a significant increase in stock positions and overall fund sizes, indicating a bullish sentiment in the equity market [1][2][5]. Fund Performance - As of July 15, 2025, 30 actively managed equity funds reported a total size of 3.89 billion yuan, up 59.57% from 2.44 billion yuan in the previous quarter [2]. - Among these funds, 28 out of 30 had stock positions exceeding 85% by the end of the second quarter, with the average stock position rising from 86.46% at the end of the first quarter to 90.1% [1]. Notable Fund Strategies - The fund "Tongtai Industrial Upgrade" saw its equity ratio surge from 34.22% at the end of Q1 to 92.35% by the end of Q2, reflecting a strategic shift back to the robotics sector after a brief period of holding only bank stocks [3]. - "Changcheng Medical Industry Select" fund achieved a nearly 90% return year-to-date, with a 35.86% increase in Q2, significantly outperforming its benchmark [5]. Sector Focus - The report identifies key sectors that fund managers are optimistic about, including innovative pharmaceuticals, humanoid robots, cloud computing, and deep-sea technology [1][10]. - Fund managers are particularly focused on the potential of innovative drugs, with many indicating that this sector will continue to offer significant investment opportunities in the second half of the year [8]. Emerging Trends - The report notes a structural shift in the market, with technology and new consumption sectors gaining prominence, leading to a more dynamic investment environment [7]. - Fund managers are increasingly looking at niche markets and emerging applications, such as AI and financial technology, to capitalize on growth opportunities [9][11].

Group 1 - The market is showing a moderate upward trend, with a positive outlook for the overall index, indicating a potential shift towards a bull market mentality [1] - Key stocks that have shown strong performance include Dazhongnan and Hongye Futures, with notable interest in Changcheng Military Industry, Beifang Changlong, and Zhongguang Fanglei [1] - The strategy emphasizes focusing on high-performing stocks and being prepared for potential rapid gains, particularly in sectors like stablecoins, solid-state batteries, military industry, and chips [1][2] Group 2 - The sentiment in the military industry is aligned, with a focus on the acceleration of top stocks, while the risks of chasing after high prices are increasing [2] - The narrative surrounding stablecoins is seen as expansive, providing opportunities for low-entry points during market fluctuations [2] - Today's strategy includes exiting positions in Zhongke Magnetic and Jianye Shares, while increasing holdings in Dazhongnan and targeting stocks like Xingye Shares for potential gains [2]

Group 1 - The article discusses the recent excitement in the bond market due to a trainee from the idol group SNH48 interning at a currency intermediary, leading to a humorous nickname "NCD48 bottom" for the bond market's short-term turning point [2][10] - The Hong Kong stock market experienced a notable decline, influenced by three main negative factors, including the triggering of the weak-side convertibility undertaking for the Hong Kong dollar, which led to a liquidity withdrawal of approximately 9.4 billion [10][11] - The stock of Guojun International, which surged nearly 200% due to stablecoin license news, faced a significant drop the following day, highlighting the speculative nature of the brokerage sector [12][14][15] Group 2 - The biotech sector in Hong Kong faced pressure due to two negative events: a significant discount placement by Innovent Biologics and a disappointing cash flow situation for Rongchang Biopharmaceuticals, leading to a drop of over 10% in their stock prices [17][18] - The article emphasizes the importance of a "bull market" mindset, suggesting that investors should focus on structural opportunities rather than being deterred by macroeconomic challenges [21][28] - It highlights two main investment themes: high-dividend monopolistic sectors in a low-interest-rate environment and industry leaders with core competitiveness and reasonable valuations [24][25]

Group 1 - The market continues to rise, with the Shanghai Composite Index reaching a new high, indicating a more structured market compared to previous days [1] - The rise in the market is attributed to multiple factors, including expectations of interest rate cuts by the Federal Reserve, which positively impacts global risk assets [2][4] - The offshore RMB reached a new high, with the dollar index experiencing a downtrend, suggesting a favorable environment for non-USD assets [2] Group 2 - The technology sector is benefiting from the strong performance of the semiconductor index in the US, which has a positive impact on growth stocks in the domestic market [5] - The brokerage sector saw significant gains, particularly after a subsidiary of Guotai Junan International received a license for virtual asset trading, leading to a surge in related stocks [6] - The net buying of margin financing indicates bullish sentiment, with significant inflows into key stocks like Dongfang Caifu and Tonghuashun, which are major players in the growth index [8][9] Group 3 - Policy support for increasing residents' property income is expected to enhance market sentiment, as it relates to stock and fund investments [12] - There are discussions about potentially advancing local government bond issuance to alleviate debt burdens, which could positively impact the stock market [13] Group 4 - The upcoming Xiaomi product launch is anticipated to attract market attention, especially given the recent underperformance of major tech stocks in Hong Kong [28][30] - The bond market is experiencing adjustments, with institutions shifting focus towards interest rate bonds amid stock market strength [36][40]