Core Viewpoint - The A-share market showed a mixed performance with the Shanghai Composite Index rising by 0.33%, the Shenzhen Component Index increasing by 0.64%, and the ChiNext Index gaining 1.86% on July 29, 2025 [1][2]. Market Performance - The total trading volume in the Shanghai and Shenzhen markets reached 1.8 trillion yuan, an increase of 609 billion yuan compared to the previous trading day [2]. - Nearly 3,000 stocks in the market experienced declines, indicating a broad market weakness despite the index gains [2]. Sector Performance - Strong performances were noted in sectors such as CRO, innovative pharmaceuticals, steel, and photovoltaic industries, while sectors like rare earths, insurance, and agriculture showed weakness [4]. - Specific stocks in the computing hardware sector, including CPO and PCB, continued to perform well, with companies like Fangbang Co., Woge Optoelectronics, and Foster hitting the daily limit up [4]. Pharmaceutical Sector - The pharmaceutical sector saw significant gains, with over ten stocks, including Asia-Pacific Pharmaceutical, Zhongsheng Pharmaceutical, and Chenxin Pharmaceutical, reaching the daily limit up [5]. - Notable individual stock performances included: - Sanyuan Gene (+20.76% at 34.84 yuan) - Ruizhi Pharmaceutical (+20.02% at 13.61 yuan) - Yaoshi Technology (+18.77% at 53.10 yuan) [6]. Capital Flow - Main capital inflows were observed in the semiconductor, pharmaceutical, and communication sectors, while outflows were noted in education, energy metals, and transportation equipment sectors [7]. - Specific stocks with significant net inflows included: - Xinyi Sheng (+1.271 billion yuan) - Hengsheng Electronics (+904 million yuan) - Shanghai Electric (+754 million yuan) [8]. - Conversely, stocks like Kids Wang, Shenghe Resources, and Northern Rare Earth faced net outflows of 870 million yuan, 806 million yuan, and 780 million yuan respectively [9]. Institutional Insights - Shenwan Hongyuan indicated that the market is likely to maintain a consolidation trend [10]. - Qianhai Bourbon Fund noted that after breaking the 3600 resistance, the market experienced a pullback, suggesting a focus on structural rebound and low valuation stocks [11]. - Zhongtai Securities highlighted a shift in market sentiment towards technology stocks and recommended actively seeking opportunities in sectors like photovoltaic and military industries [11].

Group 1 - Global market downturn triggered by geopolitical uncertainties, including US tariff policies and the Russia-Ukraine conflict, with the Hang Seng Index dropping 2.2% to 22,778 points and a trading volume of HKD 883.9 billion [1] - Analysts predict a potential second "slight" pullback in the market from late May to July, influenced by increased market supply from numerous financing projects in Hong Kong [1] - The performance of the A-share market, which is currently closed, may impact the Hang Seng Index due to a lack of support from mainland funds, with expectations of a strong performance upon reopening [1] Group 2 - Increased IPO pressure in the Hong Kong market has led to greater market supply, with high-profile companies engaging in large-scale placements, resulting in valuation pressures [2] - Structural bubbles are forming in the new consumption sector, where companies are experiencing a divergence between high valuations and underwhelming performance, necessitating market correction [2] - Analysts foresee opportunities in undervalued sectors in the second half of the year, while previously heavily financed sectors may face challenges [2]