Investment Rating - The report maintains a "Recommended" rating for the smart home industry [6][29]. Core Insights - The smart home industry is expected to benefit from government policies aimed at stimulating consumption through appliance replacement and recycling initiatives, with the number of subsidized appliance categories increasing from 8 to 12 [4][29]. - Technological advancements in IoT, AI, machine learning, and big data are expanding the application boundaries of smart home devices, leading to the creation of high-value innovative products and services [4][29]. - The easing of the US-China tariff conflict is likely to favor Chinese home appliance companies in international markets, while domestic demand is expected to grow due to rising living standards and an aging population [4][29]. Summary by Sections Market Review - In the past two weeks (May 24 - June 6, 2025), the Shanghai Composite Index rose by 1.10%, the Shenzhen Component Index by 0.51%, and the ChiNext Index by 0.89%. The smart home index (399996.SZ) increased by 2.58%, outperforming the Shanghai Composite by 1.48 percentage points [11][12]. - Year-to-date, the smart home index has risen by 2.76%, again outperforming the Shanghai Composite by 1.75 percentage points [11][12]. - Among the smart home index components, the top five stocks by growth in the past two weeks were Shenghong Technology (+32.38%), Cambridge Technology (+23.29%), Xiechuang Data (+19.62%), Craft Home (+16.01%), and Zhongke Lanyun (+11.84%) [14][15]. Industry Policy Tracking - The Ministry of Commerce supports large-scale equipment updates in national economic development zones and encourages the inclusion of foreign trade quality products in the "old-for-new" consumption policy [16][17]. - A draft opinion from the Zhejiang Economic and Information Technology Department proposes to promote foreign trade quality products under the "old-for-new" policy [17]. - The Ministry of Commerce has released an action plan to accelerate the development of smart supply chains, emphasizing the integration of digital technologies [18][19]. Industry News Tracking - In the first five months of 2025, the sales volume of the "old-for-new" consumption policy exceeded 1 trillion yuan, with significant participation in various categories [26][27]. - The first round of subsidy funds for the "old-for-new" program has been exhausted in some regions, indicating strong demand [26][27]. - Aishida plans to invest up to 150 million yuan in Vietnam for the construction of cookware, small appliances, and industrial robot projects [28]. Investment Recommendations - The report suggests that the smart home industry will benefit from supportive policies, technological advancements, and increasing domestic demand, maintaining a "Recommended" rating for the industry [4][29].

Investment Rating - The report maintains a "Recommended" rating for the smart home industry [6][29]. Core Insights - The smart home industry is benefiting from government policies aimed at stimulating consumption through the expansion of appliance subsidy categories and the promotion of old-for-new programs, which are expected to drive sales in the home appliance and home sectors [4][29]. - Technological advancements in IoT, AI, machine learning, and big data are expanding the application boundaries and interaction depth of smart home devices, creating high-value innovative products and services to meet diverse consumer needs [4][29]. - The easing of the US-China tariff conflict is expected to favor Chinese home appliance companies' overseas expansion, while domestic demand is driven by rising living standards and the increasing need for home care solutions due to an aging population [4][29]. Summary by Sections Market Review - In the past two weeks (May 24 - June 6, 2025), the Shanghai Composite Index rose by 1.10%, the Shenzhen Component Index by 0.51%, and the ChiNext Index by 0.89%. The smart home index (399996.SZ) increased by 2.58%, outperforming the Shanghai Composite by 1.48 percentage points [11][12]. - Year-to-date, the smart home index has risen by 2.76%, again outperforming the Shanghai Composite by 1.75 percentage points [11][12]. - Among the smart home index components, the top five stocks by increase over the past two weeks were Shenghong Technology (+32.38%), Cambridge Technology (+23.29%), Xiechuang Data (+19.62%), Craft Home (+16.01%), and Zhongke Lanyun (+11.84%) [14][15]. Industry Policy Tracking - The Ministry of Commerce supports national economic development zones in large-scale equipment updates and encourages the inclusion of foreign trade quality products in the old-for-new consumption policy [16][17]. - A draft opinion from the Zhejiang Economic and Information Technology Department proposes to promote foreign trade quality products under the old-for-new policy [17]. Industry News Tracking - In the first five months of 2025, the sales volume of old-for-new consumer goods exceeded 1 trillion yuan, with significant participation in various categories [26][27]. - The first round of subsidy funds for the old-for-new program has been exhausted in some regions, indicating strong demand [26][27]. - Aishida plans to invest up to 150 million yuan in Vietnam for the construction of cookware, small appliances, and industrial robot projects [28]. Investment Recommendations - The report emphasizes that the smart home industry is expected to benefit from both upstream and downstream sectors due to supportive policies, technological advancements, and increasing consumer demand [4][29].

Group 1 - JD's 618 event led to a significant increase in sales for JD Hardware City, with a 161% year-on-year growth in transaction amount and an 87% increase in the number of customers [2] - The event showcased over a million discounted products, enhancing the shopping experience for small businesses, professionals, and individual consumers [2] - The dual support of the "Billion Subsidy" and national subsidies created a new growth path for the hardware industry, benefiting various brands and factories [2] Group 2 - JD Industrial is focusing on expanding its supply chain capabilities, particularly in 60 key categories, while also introducing high-tech products like laser engraving machines and industrial drones [3] - During the 618 event, nearly 200 categories saw a doubling in transaction amounts, with high-tech categories experiencing over 50-fold growth [3] - Over 1,000 industrial brands achieved significant sales increases, with some brands seeing transaction amounts grow over 100 times compared to the previous year [3] Group 3 - Various industrial product clusters across China experienced substantial growth during the 618 event, with many achieving over 100% increase in sales [4] - JD Hardware City has been instrumental in supporting the development of these industrial clusters, providing a platform for discovering domestic demand and opportunities [4] Group 4 - The Chinese government has initiated a plan to accelerate the development of smart supply chains in key sectors, emphasizing the importance of reducing logistics costs and enhancing supply chain competitiveness [5] - JD Industrial is committed to promoting high-quality development and the digital transformation of the industrial products sector, with an upcoming conference to discuss industry challenges and opportunities [5]

Group 1: High-Quality Belt and Road Initiative - The Chinese government aims to discuss a high-quality action plan for the Belt and Road Initiative with ASEAN and GCC countries, focusing on infrastructure, market rules, and payment systems [2][4]. Group 2: Anti-Monopoly and Fair Competition - The State Council's Anti-Monopoly and Anti-Unfair Competition Committee emphasizes the need to enhance fair competition governance and address new challenges in the market [4][5]. Group 3: Modern Enterprise System - The Central Committee and State Council released opinions to improve the modern enterprise system in China, focusing on income distribution, management compensation, and corporate governance [8][9]. Group 4: Marketization of Resource and Environmental Factors - The government issued opinions to establish a market-oriented system for carbon emissions and water rights, aiming for a more active trading market by 2027 [11][12]. Group 5: Employment Public Service Model - The Ministry of Human Resources and Social Security and other departments proposed a precise employment public service model to enhance job-seeking support and streamline employment services [14][15]. Group 6: Smart Supply Chain Development - Eight departments, including the Ministry of Commerce, released a plan to accelerate the development of smart supply chains across key sectors, aiming to reduce logistics costs and enhance supply chain integration [16][17].

Group 1: High-Quality Belt and Road Initiative - The Chinese government aims to discuss a high-quality action plan for the Belt and Road Initiative with ASEAN and GCC countries, focusing on infrastructure, market rules, and payment systems [2][4]. Group 2: Anti-Monopoly and Fair Competition - The State Council's Anti-Monopoly and Anti-Unfair Competition Committee emphasizes the need to enhance fair competition governance and address new challenges in the market [4][5]. Group 3: Modern Enterprise System - The Central Committee and State Council released opinions on improving the modern enterprise system, focusing on income distribution, management compensation, and corporate governance [8][9]. Group 4: Marketization of Resource and Environmental Factors - The government issued opinions to enhance the marketization of carbon emissions and water rights, aiming for a more active trading market by 2027 [11][12]. Group 5: Employment Public Service Model - The Ministry of Human Resources and Social Security proposed a precise employment public service model to improve job matching and support for unemployed individuals [14][15]. Group 6: Smart Supply Chain Development - Eight government departments released a plan to accelerate the development of smart supply chains across key sectors, aiming to reduce logistics costs and enhance supply chain integration [16][17].

Key Points - The platform economy is emphasized for its role in promoting innovation and domestic circulation, with a focus on mutual benefits among platform enterprises, merchants, laborers, and consumers [1] - The release of the "Opinions on Improving the Modern Enterprise System with Chinese Characteristics" outlines 19 specific measures aimed at institutional innovation and enhancing corporate governance through capital market mechanisms [2] - The government aims to establish a comprehensive trading system for carbon emissions and water rights by 2027, alongside a robust pollution rights trading system [2] - The Ministry of Human Resources and Social Security has issued a notice to enhance the salary distribution incentives for skilled workers in state-owned enterprises, promoting a system where pay is linked to skill levels and job value [4] - The sales revenue from the consumption of old goods has surpassed 1 trillion yuan this year, indicating strong consumer engagement in the market [7] Industry Developments - The Ministry of Commerce has called for the construction of intelligent supply chains, leveraging digital economy and AI advancements to enhance governance and standardization [3] - The State Administration for Market Regulation has released a draft guideline on compliance for online platform charging behaviors, aiming to reduce burdens on platform operators and promote fair competition [3] - The manufacturing sector shows signs of recovery, with the PMI rising to 49.5% in May, indicating improved business conditions [7] - The automotive industry has seen significant engagement in the old-for-new consumption policy, with substantial subsidies and participation in various categories [7] - The OPEC and non-OPEC oil-producing countries have agreed to increase production by 411,000 barrels per day starting in July, reflecting ongoing adjustments in the global oil market [10]

Core Viewpoint - The strategic partnership between Chengdong Camp and JD Enterprise Business aims to enhance supply chain management through digitalization and intelligent solutions, focusing on comprehensive cooperation in procurement, technology empowerment, and financial services [1][5][6]. Group 1: Company Overview - Chengdong Camp is one of the earliest companies in China's integrated housing industry and is recognized as a high-tech and specialized enterprise in Beijing [3]. - The company has participated in significant national projects, including the 50th Anniversary National Day Parade Village, the 2008 Olympics, and the 2022 Winter Olympics, and has completed over 2,000 projects in more than 100 countries [3]. Group 2: Strategic Cooperation Details - The partnership will initially focus on collective procurement of appliances and industrial products, with plans to expand into employee benefits and office supplies [3]. - JD Enterprise Business will provide customized product solutions and exclusive pricing based on Chengdong Camp's actual business needs, leveraging JD's robust infrastructure and supply chain network for efficient material delivery [3][4]. Group 3: Digital Procurement Solutions - JD Enterprise Business offers a zero R&D cost, quickly deployable digital procurement solution called JD Huicai, which enables comprehensive digital management of the procurement process [4]. - The platform includes smart analysis tools for data tracking of procurement activities, enhancing cost optimization and supplier management [4]. Group 4: Financial Services and Support - To alleviate financial pressure from collective procurement, JD Enterprise Business provides a 40-day "pay after delivery" service, allowing flexible payment options to reduce cash flow stress [4]. - A dedicated service team has been established to ensure timely response to procurement needs and efficient problem resolution [4].

Report Summary 1. Market Data Summary - **Stock Indices**: On May 30, 2025, major US stock indices (Dow Jones, Nasdaq, S&P 500) and the Hang Seng Index showed gains, with the Hang Seng Index rising 1.355%. The US dollar index decreased by 0.114% [2]. - **Commodity Futures**: COMEX gold and silver prices increased, while most base metals on the LME had mixed performance. In the domestic market, precious metals generally rose, while base metals mostly declined. Energy - related commodities like NYMEX crude and ICE Brent crude dropped, and most domestic chemical and agricultural products also showed price fluctuations [2][4]. 2. Macro - Economic News - **Legal and Trade**: The US Federal Appellate Court suspended a ruling against Trump's global tariffs. The US has cut off some channels for selling semiconductor design software to China. China's Ministry of Commerce responded to Sino - US economic and trade consultations and EU's anti - dumping investigation on Chinese tires [7][8]. - **Economic Policies**: The Chinese government issued a plan to improve the market - based allocation system for resource and environmental elements. The Fed Chair met with Trump to discuss economic development without discussing monetary policy expectations [7][9]. - **Economic Data**: Shanghai's foreign trade in the first four months of this year increased by 1%, with exports growing 13.8%. China's large - scale light industry enterprises' revenue and profit increased by 4.9% and 3.8% respectively in the first four months [8]. 3. Morning Meeting Views on Major Varieties 3.1 Agricultural Products - **Peanuts**: Spot supply is low due to farming seasons, prices are stable with an upward bias. Traders are cautious about chasing prices up, and attention should be paid to oil mills' purchase stops and supply rhythm [12]. - **Oils and Fats**: Market trading volume decreased significantly. Weather conditions in the US and Australia are favorable for oilseed production, and the market lacks upward momentum, suggesting a weak and volatile outlook [12]. - **Sugar**: The price has broken through the key support level. Fundamentally, supply pressure exists, and it is recommended to short at high prices, paying attention to support levels [12]. - **Corn**: Supply pressure remains, and demand is weak. Technically, the price is in a range, and it is advisable to wait and see, with the possibility of a long - position trial if the resistance is broken [12]. - **Pigs**: Spot prices stabilized and rebounded. The futures contract is oscillating around 13,500, waiting for a direction [12]. - **Eggs**: Spot prices are stable in the short - term but face medium - term pressure due to capacity and weather factors [14]. 3.2 Energy and Chemicals - **Caustic Soda**: In Shandong, the price is expected to be stable in the short - term, and the 2509 contract continues to trade at a low level [14]. - **Urea**: Supply is high, demand growth is slow, and the price is expected to be weak. Attention should be paid to agricultural demand replenishment and export fulfillment [14]. 3.3 Industrial Metals - **Copper and Aluminum**: Overseas tariff risks remain, and prices are oscillating. Copper inventories are decreasing, and aluminum inventories also declined [14]. - **Alumina**: Spot prices are firm, but there is a medium - term surplus expectation. The 2509 contract may fluctuate around 3000 [16]. - **Steel Products**: The sentiment in the spot market has improved, and inventories are decreasing. However, due to macro - uncertainties, steel prices are in a low - level oscillation, and it is advisable to hold a light position before the holiday [16]. - **Silicon - based Alloys**: They are in a weak trend. Silicon iron lacks self - driving forces, and silicon manganese is affected by overseas ore supply and cost factors [16]. - **Coking Coal and Coke**: Prices are weakening due to reduced iron production and pessimistic market sentiment [18]. - **Lithium Carbonate**: The market is in a supply - strong and demand - weak situation. The price has broken through the support level, and it is recommended to hold short positions while being cautious of rebounds [18]. 3.4 Options and Finance - **Stock Indices**: A - share indices rebounded on May 29. Before the holiday, it is necessary to control risks. Attention should be paid to the upcoming PMI data and holiday consumption data [18][19]. - **Options**: On May 29, A - share indices rose, and futures indices showed different trends in basis and volume. Trend investors should be defensive, and volatility investors can buy wide - straddles after volatility reduction [20].

Group 1 - The Central Committee and the State Council issued a document aiming to improve the carbon emission rights and water rights trading systems by 2027, and to establish a sound pollution discharge rights trading system [1] - The Ministry of Commerce expressed concern over the EU's anti-dumping investigation into Chinese passenger car and light truck tire products, emphasizing that trade protectionism increases consumer burdens and disrupts supply chains [1] - The Ministry of Commerce held a national meeting on smart supply chain construction, focusing on leveraging opportunities in the digital economy and artificial intelligence [1] Group 2 - The national new industrialization operating system, Hongdao, was officially released, marking significant progress in the foundational software for embodied intelligent robots, supporting various GPU and NPU architectures [1] - Shanghai Customs reported that the city's foreign trade import and export value reached 1.4 trillion yuan in the first four months of the year, a 1% increase year-on-year, with exports showing a notable growth of 13.8% [1] - ST Ruike announced that its stock will be delisted from risk warnings and its name will change to Guorui Technology, with trading resuming on June 3, 2025 [1] Group 3 - The U.S. Federal Circuit Court temporarily suspended a previous ruling that prohibited the enforcement of tariffs imposed by the Trump administration, indicating ongoing trade policy uncertainties [3] - The U.S. Commerce Department reported a 0.2% annualized contraction in GDP for the first quarter of 2025, highlighting the impact of tariff policies on business and consumer confidence [3] - The U.S. Labor Department indicated that initial jobless claims rose to 240,000, exceeding market expectations, reflecting potential labor market weaknesses [3] Group 4 - Shandong High-Speed plans to issue bonds not exceeding 8 billion yuan and aims to raise no more than 1.5 billion yuan through a private placement [6] - Double Lin Co. intends to invest no more than 1.5 billion yuan in a new auto parts production base in Jiaxing [6] - Huaci Co. plans to raise no more than 700 million yuan for the ASEAN Ceramic Valley project through a private placement [6]

Market Performance - On May 29, 2025, the A-share market indices showed a strong upward trend, with the Shanghai Composite Index rising by 0.70%, the Shenzhen Component Index by 1.24%, and the ChiNext Index by 1.37%[2] - The total market turnover reached 1,185.23 billion yuan, an increase of 175.48 billion yuan compared to the previous trading day[2] Sector Performance - Among the 30 major sectors, the top performers included Comprehensive Finance (7.68%), Computer (3.64%), and Medicine (2.33%), while the laggards were Banking (-0.21%), Food and Beverage (-0.20%), and Oil and Petrochemicals (-0.13%)[20] - Growth stocks outperformed value stocks, with small-cap growth leading the performance rankings[20] Capital Flow - On May 29, 2025, the net inflow of main funds was 15.196 billion yuan, with large orders showing a net inflow of 17.828 billion yuan and medium orders showing a net outflow of 18.550 billion yuan[24] - Southbound funds recorded a net inflow of 4.382 billion HKD, with the Shanghai-Hong Kong Stock Connect contributing 4.186 billion HKD and the Shenzhen-Hong Kong Stock Connect contributing 0.196 billion HKD[26] ETF Activity - Major ETFs such as the Huaxia Shanghai 50 ETF and the Huatai-PB CSI 300 ETF saw significant increases in trading volume, with changes of +1.514 billion yuan and +1.402 billion yuan respectively[29] - The inflow into the Sci-Tech 50 ETF on May 28 was 0.382 billion yuan, indicating a strong interest in technology-focused investments[29] Global Market Trends - On May 29, 2025, major Asia-Pacific indices closed higher, with the Hang Seng Index up 1.36% and the Nikkei 225 Index up 1.88%[33] - In contrast, European indices fell on May 28, with the DAX down 0.78% and the FTSE 100 down 0.59%[33]