Market Overview - A-shares opened significantly lower due to Trump's threat of increased tariffs but quickly narrowed the decline as panic subsided, with the Shanghai Composite Index down 0.19% and the Shenzhen Component down 0.93% at the close, with total trading volume exceeding 2.3 trillion yuan [1] - The market's reaction to the tariff disturbances was quicker than in previous instances, indicating limited adjustment space for A-shares, with potential investment opportunities in rare earths, semiconductors, and AI industries amid the backdrop of US-China decoupling [1] Mining Sector - Mining stocks experienced a strong performance, with the mining ETF rising 4.59% and the Wind Rare Earth Index soaring 9.49%, driven by China's strengthened control over rare earth resources and the approaching traditional peak demand season [3] - The rare earth industry is expected to see a rise in both volume and price due to supply-side management and increasing global demand for elements like neodymium and praseodymium, particularly in green technology applications [3] - Long-term investment logic in the mining sector remains solid, with gold prices having risen over 50% since the beginning of the year, significantly enhancing the valuation space for gold mining stocks [3] Nonferrous Metals - Several metals are poised to benefit from a shift in supply-demand dynamics, particularly copper, which is expected to transition from a "tight balance" to a "shortage" over the next two years due to supply disruptions and expanding demand [4] - The Democratic Republic of the Congo's new export quota system for cobalt is anticipated to reverse the current oversupply situation, potentially leading to a shortage and driving cobalt prices to historical highs [4] - The mining sector is supported by multiple factors, suggesting further improvements in profitability and valuation, with recommendations to focus on mining ETFs [4] Semiconductor Industry - The STAR 50 Index showed resilience, with the semiconductor equipment ETF rising 3.43%, driven by the core theme of "domestic substitution and self-control" amid ongoing US-China tensions in the semiconductor sector [5] - Recent domestic measures include antitrust investigations against Nvidia and anti-dumping investigations on US-imported chips, aimed at enhancing the security and autonomy of the domestic semiconductor industry [5] - The market for domestic semiconductor equipment remains vast, with current domestic production rates for critical processes still below 20% [5] AI and Semiconductor Equipment - Semiconductor equipment manufacturers are expected to benefit from the growing demand for AI and high-performance computing (HPC), with strong investment in advanced processes driven by AI chip demand [6] - The high demand for high-bandwidth memory and 3D NAND is likely to lead to a structural supply shortage, further boosting related equipment investments [6] - The market is shifting focus from previously hot sectors like computing and chips to upstream semiconductor equipment for potential investment opportunities [6] Gold Market - Gold prices continue to rise, recently surpassing $4,090, with gold ETFs also showing significant gains, supported by increased market uncertainty and geopolitical tensions [6][8] - The trend of central banks increasing gold reserves is ongoing, with China's reserves reaching 74.06 million ounces, marking the 11th consecutive month of increases [8] - The combination of monetary expansion, fiscal deficits, and global geopolitical instability is expected to sustain demand for gold as a safe-haven asset [8] New Energy Vehicles - The new energy vehicle ETF rose 0.75% after a recent adjustment, supported by strong demand in the lithium battery sector and significant sales growth from leading manufacturers [9] - The lithium battery industry is experiencing favorable catalysts, including increased production and strong demand forecasts for 2026, alongside improved financial metrics for lithium companies [9] - The energy storage market is also showing robust demand, with significant growth in bidding for storage systems expected in the coming years [9]

Core Viewpoint - The recent Japanese Senate elections indicate a significant shift in the political landscape, with the rise of the conservative "Reform Party" reflecting a growing discontent among voters towards the ruling Liberal Democratic Party (LDP) and its perceived inefficiencies [1][2]. Group 1: Political Landscape - The ruling coalition of the LDP and Komeito has lost its majority in the Senate, marking a critical moment in Japan's political stability [1]. - The emergence of the Reform Party, which won 14 seats in the Senate and garnered over 7.4 million votes, signifies a shift towards a more nationalist and conservative political stance [2][3]. Group 2: Voter Sentiment - Voters express frustration with the LDP's handling of immigration and globalization, feeling that the party has become too lenient towards foreign influences [3][4]. - The Reform Party's platform, centered on "putting Japanese people first," resonates with those who feel marginalized by current political elites and policies [2][3]. Group 3: Future Implications - The rise of the Reform Party may lead to increased polarization and populism in Japanese politics, similar to trends observed in the United States with the MAGA movement [4]. - The reliance on social media for mobilization by the Reform Party suggests a shift in how political discourse is shaped, potentially leading to more divisive and less rational communication in the political arena [4].

Core Viewpoint - The "2025 China Enterprises Going Global Summit" emphasizes the need for Chinese companies to navigate the challenges of globalization and free trade amidst a restructuring global industrial chain [1]. Group 1 - The summit aims to provide a high-end platform for Chinese enterprises to engage in dialogue, resource connection, and problem-solving regarding going global [1]. - Gao Zhikai, Deputy Director of the Globalization Think Tank (CCG), highlighted the relationship between globalization and free trade, stating that anti-globalization is essentially anti-free trade, which is a short-term behavior [2]. Group 2 - Gao discussed the "Trump phenomenon" during his recent visit to Europe, questioning whether it is a short-term or long-term trend, suggesting that strategies should be adjusted accordingly [2]. - He warned of the potential negative outcomes of the current confrontational stance of the U.S., advocating for a steady approach as suggested by Deng Xiaoping, to avoid missing opportunities [2]. - Gao asserted that China has become the defender of free trade, holding the banner of free trade and emerging as a winner in the current global landscape [2].

Core Viewpoint - The U.S. administration's decision to modify tariffs on China is seen as a positive signal, indicating the importance of bilateral economic relations for both countries and the global economy [1] Group 1: Tariff Adjustments - On May 12, the U.S. White House issued an executive order to modify tariffs to reflect the situation in talks with China, and on May 14, it announced the suspension or adjustment of tariffs on China [1] - This move is interpreted as a recognition of the significance of U.S.-China economic relations [1] Group 2: Economic Perspectives - Nobel laureate economist James Heckman expressed strong opposition to "anti-globalization" and emphasized the importance of free trade [1] - Heckman stated that he is pleased with China's stance against "reciprocal tariffs" during critical times, highlighting the vibrancy of the Chinese economy [1]