Report Summary 1. Report Industry Investment Rating No industry investment rating is provided in the report. 2. Core View - After continuous sharp increases, the upward momentum has slowed, and the market may experience short - term shock consolidation. With the A - share semi - annual reports mostly disclosed, the market will enter a performance and policy vacuum period. In the current low - interest - rate environment, the transfer of household deposits will inject liquidity into the market. Policy arrangements for long - term capital entry will optimize the A - share investment structure. A - shares with reasonable valuations will attract foreign capital, and there is still an expectation of policy intensification. It is recommended to buy on dips with a light position. [2] 3. Summary by Relevant Catalogs 3.1 Futures盘面 - IF主力合约（2509）最新4510.6，环比+8.0；IH主力合约（2509）最新2979.6，环比+1.0；IC主力合约（2509）最新7014.8，环比+31.4；IM主力合约（2509）最新7380.6，环比+26.8. - IF - IH当月合约价差1531.0，环比+4.8；IC - IF当月合约价差2504.2，环比+13.6；IM - IC当月合约价差365.8，环比 - 4.0；IC - IH当月合约价差4035.2，环比+18.4；IM - IF当月合约价差2870.0，环比+9.6；IM - IH当月合约价差4401.0，环比+14.4. - IF当季 - 当月 - 22.8，环比 - 5.2；IF下季 - 当月 - 44.4，环比 - 3.0；IH当季 - 当月0.4，环比+0.2；IH下季 - 当月3.6，环比+1.4；IC当季 - 当月 - 156.2，环比 - 1.2；IC下季 - 当月 - 306.2，环比 - 8.8；IM当季 - 当月 - 200.6，环比 - 11.0；IM下季 - 当月 - 385.4，环比 - 19.4. [2] 3.2 Futures持仓头寸 - IF前20名净持仓 - 34,825.00，环比 - 1169.0；IH前20名净持仓 - 16,404.00，环比+448.0；IC前20名净持仓 - 15,916.00，环比+2015.0；IM前20名净持仓 - 52,319.00，环比 - 1240.0. [2] 3.3现货价格 - 沪深300为4523.71，环比+27.0；上证50为2981.20，环比+4.7；中证500为7110.29，环比+66.4；中证1000为7501.15，环比+62.5. - IF主力合约基差 - 13.1，环比 - 22.5；IH主力合约基差 - 1.6，环比 - 5.1；IC主力合约基差 - 95.5，环比 - 48.3；IM主力合约基差 - 120.6，环比 - 48.5. [2] 3.4市场情绪 - A股成交额（日，亿元）27,776.47，环比 - 525.51；两融余额（前一交易日，亿元）22,613.49，环比+174.21；北向成交合计（前一交易日，亿元）3775.60，环比 - 162.49；逆回购（到期量，操作量，亿元） - 2884.0，环比+1827.0；主力资金（昨日，今日，亿元） - 793.82，环比 - 571.43. - 上涨股票比例（日，%）59.11，环比+22.29；Shibor（日，%）1.315，环比 - 0.016. - IO平值看涨期权收盘价（2509）93.20，环比 - 14.00；IO平值看涨期权隐含波动率（%）19.70，环比 - 3.26；IO平值看跌期权收盘价（2509）77.20，环比 - 20.60；IO平值看跌期权隐含波动率（%）19.70，环比 - 3.26. - 沪深300指数20日波动率（%）13.40，无变化；成交量PCR（%）56.70，环比+7.07；持仓量PCR（%）86.54，环比+1.29. [2] 3.5 Wind市场强弱分析 - 全部A股6.50，环比+1.40；技术面5.90，环比+2.30；资金面7.00，环比+0.50. [2] 3.6行业消息 - 中国8月官方制造业PMI、非制造业PMI和综合PMI分别为49.4%、50.3%和50.5%，环比升0.1、0.2和0.3个百分点. - 截至8月30日，A股已有5424家上市公司披露2025年半年报。上半年营收总计34.99万亿元，同比增长0.02%；归母净利润总计2.99万亿元，同比增长2.45%.其中4178家实现盈利（占比77%），2908家归母净利润同比增长（54%），661家增幅超100%. [2] 3.7重点关注数据 - 9/2 17:00 欧元区8月HCPI、核心HCPI初值；22:00 美国8月ISM制造业PMI. - 9/3 22:00 美国7月JOLTs职位空缺. - 9/4 19:30 - 20:30 美国8月挑战者企业裁员人数、ADP就业人数、7月贸易帐. - 9/5 20:30 美国8月非农就业人数、失业率、劳动参与率. [3]

Group 1: Manufacturing Sector Insights - The official manufacturing PMI for August recorded at 49.4, a slight increase of 0.1 percentage points from the previous value of 49.3, but remains below the 50% threshold for the fifth consecutive month, indicating continued contraction in the manufacturing sector[3] - The production index for August rose to 50.8, up by 0.3 percentage points, while the new orders index increased to 49.5, up by 0.1 percentage points, suggesting marginal improvement in production relative to demand[7] - The new export orders index stood at 47.2, reflecting a 0.1 percentage point increase, with July exports showing a strong year-on-year growth of 7.2%, indicating a gradual reduction in tariff impacts[11] Group 2: Construction Sector Insights - The construction PMI fell to 49.1, down by 1.5 percentage points from the previous value of 50.6, highlighting a significant decline in construction activity[4] - The new orders index for construction dropped to 40.6, indicating weak real estate sales and a slowdown in the issuance of special bonds, leading to insufficient new projects[12] - Despite a rebound in the employment index, the supply-demand imbalance continues to hinder overall non-manufacturing expansion momentum[12] Group 3: Investment Recommendations and Risks - Manufacturing sector shows slight month-on-month improvement but remains below the threshold, indicating no significant recovery; external demand remains resilient but may face challenges post-tariff exemption period ending in November[5] - In light of weak domestic demand, expectations for monetary policy easing, including potential rate cuts, may arise following the Federal Reserve's decisions[18] - Risks include unexpected impacts from tariffs on manufacturing, slower-than-expected recovery in consumer confidence, and potential shortcomings in industrial policy[19]

Group 1 - In August, the manufacturing PMI, non-manufacturing business activity index, and comprehensive PMI output index were 49.4%, 50.3%, and 50.5%, respectively, indicating a slight recovery in economic sentiment [1] - The production index for manufacturing was 50.8%, up 0.3 percentage points from the previous month, marking an acceleration in manufacturing production expansion [2] - The new orders index for manufacturing was 49.5%, showing a 0.1 percentage point increase from last month, with certain sectors like pharmaceuticals and electronics performing significantly better than the overall manufacturing sector [2] Group 2 - The high-tech manufacturing PMI and equipment manufacturing PMI were 51.9% and 50.5%, respectively, both showing increases from the previous month, indicating sustained support and leadership in these sectors [3] - The production and business activity expectation index was 53.7%, up 1.1 percentage points from last month, reflecting increased confidence among manufacturing enterprises regarding future market conditions [3] Group 3 - The non-manufacturing business activity index was 50.3%, with the new orders index rising to 46.6%, indicating a stabilization in supply and demand [4] - The service sector's business activity index reached 50.5%, the highest point of the year, with sectors like capital market services showing particularly strong growth [5] - The construction sector's business activity index fell to 49.1% due to adverse weather conditions, but the business activity expectation index remained slightly above 50 at 51.7% [5]

Group 1 - The manufacturing purchasing manager index (PMI) for August is 49.4%, indicating a slight increase of 0.1 percentage points from the previous month, while the non-manufacturing business activity index is at 50.3%, up by 0.2 percentage points, and the comprehensive PMI output index is at 50.5%, rising by 0.3 percentage points, suggesting overall economic expansion in China [1][2][5] - The production index in the manufacturing sector is 50.8%, which is an increase of 0.3 percentage points, marking four consecutive months above the critical point, indicating accelerated manufacturing production [2] - The new orders index stands at 49.5%, reflecting a 0.1 percentage point increase from last month, with certain industries like pharmaceuticals and electronics showing significantly higher production and new orders indices compared to the overall manufacturing sector [2] Group 2 - The price indices for major raw materials and factory prices are 53.3% and 49.1%, respectively, both showing increases of 1.8 and 0.8 percentage points, indicating an overall improvement in market price levels [2] - High-tech manufacturing PMI and equipment manufacturing PMI are at 51.9% and 50.5%, respectively, with increases of 1.3 and 0.2 percentage points, suggesting a strengthening leading role in these sectors [3] - The non-manufacturing business activity index is at 50.3%, with a new orders index of 46.6%, which is a 0.9 percentage point increase, indicating stable supply and demand conditions [4] Group 3 - The service sector's business activity index is at 50.5%, up by 0.5 percentage points, reaching a yearly high, with certain industries like capital market services showing indices above 70.0% [4] - The construction sector's business activity index has decreased to 49.1%, down by 1.5 percentage points due to adverse weather conditions affecting production [4] - Overall, the comprehensive PMI output index remains in the expansion zone, with manufacturing production and non-manufacturing business activity indices indicating accelerated overall business activities [5]

1. Report Industry Investment Rating - No relevant information provided. 2. Core Viewpoints of the Report - Last week, the main contract price of Shanghai zinc futures stopped falling and stabilized. The improvement of PMI data in Europe and the US and the dovish interpretation of Powell's speech at the Jackson Hole Central Bank Annual Meeting increased the market's expectation of a Fed rate cut in September, improving market risk appetite. Domestically, the A-share market continued to strengthen [3][10]. - Fundamentally, LME zinc inventories continued to decline, supporting the pattern of stronger overseas and weaker domestic zinc markets. Affected by concentrated arrivals, the zinc ore imports in July exceeded expectations, and refineries had sufficient raw material inventories, supporting stable production. The imports of refined zinc decreased in July as expected, and it is expected to remain at the current level. The smelting end maintained high supply, while downstream consumption did not improve significantly. After the decline in zinc prices, downstream buyers actively replenished their stocks at low prices, resulting in a slight decrease in inventories, but the sustainability remains to be seen [4][10]. - Overall, Powell's dovish stance boosted the rate - cut expectation and repaired market risk appetite. There were no new contradictions in the fundamentals. The decline in LME inventories and increased low - price purchases by domestic downstream provided support, but the high supply pressure from stable mining and smelting production suppressed zinc prices. Technically, the futures price found support near the previous low. In the short term, with the boost of macro - sentiment, zinc prices are expected to repair with a volatile and upward trend [4][11]. 3. Summary by Directory 3.1 Transaction Data | Contract | August 15 | August 22 | Change | Unit | | --- | --- | --- | --- | --- | | SHFE Zinc | 22505 | 22275 | - 230 | Yuan/ton | | LME Zinc | 2796.5 | 2805.5 | 9 | US dollars/ton | | Shanghai - London Ratio | 8.05 | 7.94 | - 0.11 | - | | SHFE Inventory | 76803 | 77838 | 1035 | Tons | | LME Inventory | 76325 | 68075 | - 8250 | Tons | | Social Inventory | 11.69 | 10.37 | - 1.32 | Ten thousand tons | | Spot Premium | - 50 | - 40 | 10 | Yuan/ton | [5] 3.2 Market Review - The decline of the main contract of Shanghai zinc futures (ZN2510) slowed down last week, and it stabilized and repaired in the second half of the week. The market was waiting for Powell's speech for rate - cut guidance, and the low - price purchases by downstream led to a slight decrease in weekly inventories, providing support. The contract finally closed at 22275 Yuan/ton, with a weekly decline of 1.02%. It rose during the Friday night session [6]. - LME zinc fluctuated narrowly in the first half of the week. The market revised its rate - cut expectation, and the US dollar stabilized and rebounded, suppressing the LME zinc price. On Friday, the rate - cut expectation recovered, and the contract closed at 2805.5 US dollars/ton, with a weekly increase of 0.32% [6]. - In the spot market, as of August 22, the mainstream transaction price of Shanghai 0 zinc was concentrated between 22220 - 22290 Yuan/ton, with a discount of 10 - 0 Yuan/ton to the 2509 contract. In different markets, the prices and discounts varied. In general, downstream low - price purchases were more frequent in the first half of the week, but with no obvious improvement in consumption, purchases decreased in the second half of the week, and traders' quotes remained stable, with the premium remaining weak [7]. - In terms of inventory, as of August 22, LME zinc inventory was 68075 tons, a weekly decrease of 8250 tons. SHFE inventory was 77838 tons, an increase of 1035 tons from the previous week. As of August 21, social inventory was 13.29 million tons, an increase of 0.37 million tons from August 14 and a decrease of 0.26 million tons from August 18. The decline in the zinc price center during the week boosted downstream purchasing enthusiasm, leading to a slight decrease in inventories in many places [8]. - Macroeconomically, the preliminary value of the US S&P Global Manufacturing PMI in August reached 53.3, the highest level since May 2022, far exceeding the expected 49.5. The service PMI slightly declined to 55.4, but the significant rebound in manufacturing pushed the composite PMI to a 9 - month high of 55.4. The preliminary value of the Eurozone PMI in August rebounded from 49.8 to 50.5, breaking above the boom - bust line for the first time since June 2022, higher than the expected 49.5. The US and the EU reached a framework for a trade agreement, with the EU promising to cancel all US industrial product tariffs and plan to purchase US energy and AI chips worth billions of dollars. The Fed's July meeting minutes showed a hawkish signal, but after Powell's speech, traders increased their bets on a Fed rate cut in September [8][9]. 3.3 Industry News - As of August 22, the average weekly domestic TC of SMM Zn50 was flat at 3900 Yuan/metal ton, and the SMM imported zinc concentrate index rose by 2.2 US dollars/dry ton to 92.5 US dollars/dry ton [12]. - According to customs data, in July, zinc concentrate imports were 501,400 tons, a month - on - month increase of 51.97% and a year - on - year increase of 33.58%. From January to July, the cumulative zinc concentrate imports were 3.0354 million tons, a cumulative year - on - year increase of 45.2%. In July, refined zinc imports were 17,900 tons, a month - on - month decrease of 50.35% and a year - on - year decrease of 2.97%. From January to July, the cumulative refined zinc imports were 209,900 tons, a cumulative year - on - year decrease of 12.72%. In July, galvanized sheet exports were 1.1975 million tons, a month - on - month increase of 5.86% and a year - on - year increase of 13%. In July, die - cast zinc alloy exports were 241.35 tons, a month - on - month decrease of 61.21% [12][13]. 3.4 Related Charts - The report provides multiple charts, including the price trend charts of SHFE zinc and LME zinc, the ratio of domestic and foreign markets, spot and LME premiums, inventory data of SHFE, LME, social and bonded areas, domestic and foreign zinc ore processing fees, zinc ore import profit and loss, refined zinc net imports, domestic refined zinc production, smelter profits, and downstream primary enterprise operating rates [15][16][17].

Core Insights - The strong PMI preliminary value for August indicates robust performance of U.S. businesses in the third quarter, with the economy expanding at an annualized rate of 2.5%, surpassing the average growth rate of 1.3% in the first half of the year [1] Economic Indicators - Both manufacturing and services sectors reported stronger demand, leading to a significant increase in unfinished orders at the fastest rate since early 2022 [1] - Record increases in finished goods inventories are partly due to concerns over future supply conditions [1] Employment and Pricing Power - The rebound in demand has driven a surge in hiring, enhancing companies' pricing power [1] - Companies are increasingly passing on the rising costs associated with tariffs to customers, resulting in inflation pressures reaching the highest level in three years [1] Inflation Outlook - The rise in prices for goods and services suggests that consumer price inflation will likely exceed the Federal Reserve's 2% target in the coming months [1] - The combination of increased business activity and hiring, along with the reported price increases, brings PMI data closer to the "rate hike zone" [1]

Group 1 - The core point of the news indicates that the UK services sector experienced a significant decline in new orders in July, marking the largest drop since November 2022 [1] - The final CIPS/S&P Global Services PMI for July decreased from 52.8 in June to 51.8, although it was higher than the preliminary estimate of 51.2 [1] - The new business index fell below the neutral 50 mark to 47.7, the lowest level since November 2022, reflecting weak sales due to customer risk aversion and low confidence [1] - The employment sub-index dropped to 45.6, indicating a six-month low, as companies froze hiring and laid off workers due to weak demand [1] - Despite the challenges, business optimism improved, with the future activity index rising to 65.9, the second-highest level since October 2022, driven by easing concerns over tariff discussions and hopes for interest rate cuts by the Bank of England [1] - The market widely anticipates a rate cut by the Bank of England, but the mixed data may complicate its decision-making process [1] Group 2 - The GBP/USD exchange rate is facing resistance at the upper Bollinger band (1.3346) and the convergence of short-term moving averages [2] - Short-term support is located near the previous low of 1.3140, with a potential further test of the 1.31 psychological level if it breaks below [2] - The MACD indicator shows a bullish crossover, but the slowing red histogram indicates limited upward momentum, suggesting a tug-of-war between bulls and bears in the short term [2]

Report Summary 1. Industry Investment Rating - No specific industry investment rating is provided in the report. 2. Core View - The report suggests holding long positions in crude oil and paying attention to US sanctions on Russian energy [1]. 3. Summary by Related Catalogs International Crude Oil - WTI9 crude oil futures closed down $1.13 per barrel, a decline of 1.70%, at $65.16 per barrel; Brent October crude oil futures closed down $1.12 per barrel, a decline of 1.63%, at $67.64 per barrel; SC2509 crude oil futures closed down 6.60 yuan per barrel, a decline of 1.30%, at 502.50 yuan per barrel [1]. Market News - Russia is considering an aerial cease - fire but will not agree to a full cease - fire [2]. - Trump said if energy prices drop low enough, Putin will stop the conflict. He will decide whether to sanction countries buying Russian energy after a meeting in Witkov on Wednesday. There is a high possibility of imposing a 100% tariff on Russian oil, but the result is undetermined [2]. - US API crude oil inventory for the week ending August 1 was - 4233000 barrels, compared with an expected - 1845000 barrels and a previous value of 1539000 barrels. API Cushing crude oil inventory, gasoline inventory, and heating oil inventory also had corresponding changes [2]. - The CEO of Bank of America said their economists expect the US economy to grow about 1% - 1.5% this year [2]. - Trump will "significantly" raise tariffs on Indian imports in the next 24 hours due to India's continued purchase of Russian oil, with the current tariff rate at 25% [2]. - Eurozone's July composite PMI rose from 50.6 in June to 50.9, slightly lower than the initial estimate of 51.0, still indicating economic weakness. The service - sector PMI climbed from 50.5 in June to 51.0 [2]. - Dutch International Bank believes OPEC+ may end production increases [3]. Trend Intensity - The trend intensity of crude oil is 1, with a range of [-2, 2] and a classification of weak,偏弱, neutral, 偏强, strong, where - 2 is most bearish and 2 is most bullish [4].

Summary of Conference Call Industry or Company Involved - The conference call primarily discusses macroeconomic policies and their implications for various sectors, particularly focusing on the Chinese economy and its policy adjustments. Core Points and Arguments 1. The recent Politburo meeting emphasized the need for a balance between short-term and long-term economic strategies, indicating a cautious approach to policy adjustments that may not meet market expectations [2][12] 2. The focus of short-term policies is on maintaining a bottom-line thinking approach, with an emphasis on existing policies rather than introducing new measures [2][12] 3. There is a notable shift towards supporting service consumption as a new growth point, moving away from a focus on goods consumption [4][5][18] 4. The meeting highlighted the importance of nurturing new service consumption sectors, suggesting potential future policy support in this area [5][18] 5. The government is expected to continue promoting urban renewal and efficiency in existing systems rather than expanding new projects, indicating a transition from an expansionary phase to a focus on optimizing current resources [7][12] 6. The tone of the meeting suggested a more lenient approach towards industries previously considered weak, with a shift from strict capacity exit policies to governance of existing capacities [9][10] 7. The meeting also addressed the need for improved efficiency in fiscal policies, particularly in managing local government investments to avoid ineffective projects [10][11] 8. The PMI data for July showed a decline in both manufacturing and non-manufacturing sectors, indicating weakening demand, which may influence future policy decisions [14][15][16] 9. The service sector's performance in July was below expectations, reflecting broader economic challenges, particularly in consumer spending [17][18] 10. The overall sentiment from the meeting suggests that while current policies are focused on maintaining stability, there may be room for additional measures if economic indicators continue to weaken [19][20] Other Important but Possibly Overlooked Content 1. The meeting indicated that the government is still in the process of implementing previously announced policies, with no immediate plans for new stimulus measures [19] 2. The discussion around the service sector highlighted the impact of real estate on consumer spending, suggesting that recovery in this area is crucial for overall economic health [17][18] 3. The potential for future policy adjustments will depend on the performance of key economic indicators in the coming months, particularly in August [19]

Report Industry Investment Rating No relevant information provided. Core Viewpoints of the Report - In August, the bond market may reach its peak moment, becoming a decisive factor in the performance competition in the second half of the year. The opportunities in the first and middle ten - days of August may be greater, while the situation in the last ten - days needs further observation. With five major positive factors supporting, there is a 10 - 12bp downward space for the yields of 10 - year and 30 - year treasury bonds, and the potential returns are considerable when considering the duration [2][5]. Summary According to the Table of Contents 1. July Bond Market: "Unjust Disaster" - The bond market in July went against market expectations. The yields of 10 - year and 30 - year treasury bonds started at 1.64% and 1.85% respectively and rose to 1.75% and 2.00% by the end of the month, with an increase of 11bp and 15bp. The main reasons for the divergence between expectations and reality were the over - fermented risk appetite in the stock and commodity markets and the unexpected tightening of the capital market around the tax period [1][10]. - The bond market in July can be divided into three stages: a calm first ten - days, a turbulent middle ten - days, and a late ten - days when negative factors were released. In the late ten - days, affected by factors such as the start of a large - scale infrastructure project and the "anti - involution" trading, the bond market entered an irrational decline [11][12]. - In terms of various bond types, short - term bonds performed better than long - term bonds, and credit bonds outperformed interest - rate bonds. The yields of various bonds generally increased, and the 30 - year treasury bond had a single - month decline of 2.30%, making July the second - worst month for the bond market this year [15][16][18]. 2. Five Reasons to Be Bullish on the Bond Market in August 2.1. Do Not Underestimate the Change in the US Attitude on Tariff Issues - The result of the Sino - US tariff negotiation may become the main variable for asset pricing again. The US may use tariffs to seek benefits in investment or exports, which could damage global trade relations and create a negative atmosphere for Sino - US negotiations [2][21]. - In the new round of tariff negotiations, the US generally obtained favorable trade terms. This may make the US more aggressive in future Sino - US negotiations. If Sino - US relations deteriorate, it could suppress global and domestic risk preferences, which is beneficial to the bond market [22][24]. 2.2. The Fundamental Situation Weakens Marginally, but the Expectation of Policy Stimulus Retreats - The July PMI data showed that the manufacturing PMI was 49.3%, lower than the expected 49.7%. The new orders and production in the manufacturing industry declined, indicating weak demand. The large - scale net purchase of bills by major banks in July and the decline of bill interest rates to near zero may also suggest weak loan demand [25][26]. - The Politburo meeting at the end of July gave an optimistic assessment of the first - half economy, which may make it difficult to introduce short - term "stable growth" policies. If the economic data in the third quarter fluctuates, there may be a time lag before stimulus policies are introduced, which could lead to a decline in risk preferences and be beneficial to the bond market [29]. 2.3. The Suppression of Risk Appetite Caused by "Anti - Involution" Trading Weakens - From July 1st to 25th, affected by "anti - involution" trading, the futures prices of key commodities such as coking coal, coke, and polysilicon increased significantly, and the extreme risk preferences in the market were rapidly boosted, which was the main reason for the sharp adjustment of the bond market [30]. - To suppress speculation, commodity exchanges issued relevant policies at the end of July. The first stage of the general rise in the commodity market may have passed, and the over - risen commodities have entered the price correction stage. The market risk preference has returned to rationality, reducing the resistance to the rise of the bond market [31][32]. 2.4. In Terms of Liquidity, August May Be the Low Point of the Annual Capital Interest Rate - Generally, the capital interest rate in August does not increase significantly compared with July. The natural capital gap in August is not large. Although the net issuance of government bonds may increase, it is offset by the lower tax payment. The MLF maturity scale in August is 3000 billion yuan, and the maturity pressure of repurchase agreements has eased, which is conducive to maintaining a neutral and loose capital interest rate [34][35]. - Historically, the R001 and R007 in August can generally remain stable, and the increase in the capital interest rate usually occurs before the end of the month. After August, the capital interest rate may fluctuate due to factors such as the quarter - end pressure in September and uncertainties in the fourth quarter. Therefore, August may be the low point of the annual capital interest rate [36][37]. 2.5. Pay Attention to the Return of Redeemed Funds and the New Premiums of Insurance "Cost - Reduction" - In July, the continuous redemption of public bond funds by institutions amplified the adjustment of the bond market. However, the redemption pressure may only be within the "institution - fund" circle and has not spread outward. The liability of wealth management products and banks remained stable. For example, wealth management products continued to increase their holdings of certificates of deposit in July [46][49][50]. - If the redeemed funds of funds remain in the inter - bank market, they may flow back to the trading market as the bond market recovers in August, which could push the interest rate down. In addition, due to the adjustment of the insurance product interest rate, the yields of ultra - long - term local bonds and ultra - long - term treasury bonds have risen to around or above the "new cost line" of life insurance, and the ultra - long - term interest - rate bonds may experience an excessive decline in August [50][55][57]. 3. The Bond Market in August May Reach Its Peak Moment: Grasping the Rhythm Is Key - With five major positive factors, the bond market in August may reach its peak moment. The opportunities in the first and middle ten - days of August are greater, while the situation in the late ten - days needs further observation. From the end of July to the beginning of August, although the bond market entered the recovery stage, institutions were still cautious about the duration [5][59]. - It is recommended to extend the duration as much as possible with active individual bonds within the acceptable risk range. The bond interest tax - payment new rule announced by the Ministry of Finance on August 1st may affect the pricing of treasury bonds, local bonds, and financial bonds in three stages, but it is not a negative factor for the bond market [59][63].