1. Report Industry Investment Rating No relevant content provided. 2. Core Views of the Report - The "stock - bond seesaw" is likely to continue weakening. The rise in the stock market is not due to expectations of rising economic data, and even when the stock market rises, the capital interest rate remains low and the financing demand such as credit has not significantly increased. The future trends of stocks and bonds will be relatively independent, and "trading bonds based on stocks" is not a good strategy. The more reasonable "right - side" trading signals for bond yield decline are the central bank's further easing policies and the accelerated entry of allocation - type institutions [4][9]. - The current bond market adjustment is different from that in the first quarter. The first - quarter adjustment was caused by the central bank's active tightening of liquidity, while the current one is due to institutions' active adjustment of investment strategies. It is expected that the short - end will be more stable than the long - end, and credit bonds will be more stable than interest - rate bonds [4][9]. - Considering the historical upward trend of interest rates in September compared to August and the "early" adjustment of the bond market in 2025, the bond market is expected to gradually build a top in a narrow - range oscillation. The short - term strategy suggests quick in - and - out trading of long - end bonds for small fluctuations and continuous holding of medium - and short - term credit bonds [4][11]. 3. Summary According to Relevant Catalogs 3.1 Bond Market Weekly View: The "Stock - Bond Seesaw" May Continue to Weaken - Last week, the "stock - bond seesaw" weakened. The reasons for the stock market rise and bond market adjustment are independent of each other. The stock market rise is due to the improvement of national governance expectations and confidence in technological - led economic transformation, while the bond market adjustment is because of the low profit - making effect [4][7][9]. - The future trends of stocks and bonds will be relatively independent. The bond market adjustment this time is different from that in the first quarter, with the short - end and credit bonds being more stable. The bond market is expected to build a top in a narrow - range oscillation, and short - term strategies for long - end and medium - and short - term credit bonds are proposed [4][9][11]. 3.2 This Week's Focus in the Fixed - Income Market: Rising Treasury Bond Supply - Data to be released this week include China's August S&P Global Manufacturing PMI, US August ADP employment figures, and August unemployment rate. An important event is the grand military parade in Tiananmen Square, China on September 3 [14][15]. - At the beginning of the month, the local bond issuance scale declined, while the treasury bond issuance scale increased to a relatively high level. It is expected that a total of 6324 billion yuan of interest - rate bonds will be issued, which is at a relatively high level compared to the same period [15]. 3.3 Review and Outlook of Interest - Rate Bonds: Limited Bond Market Recovery - The central bank's reverse repurchase operations had a net investment of 196.1 billion yuan. The MLF was over - renewed, and the capital interest rate increase was controllable under the central bank's active investment. The repurchase trading volume decreased, and the overnight ratio decreased. The net financing of certificates of deposit remained negative, and the prices mainly declined [20][21][27]. - Last week, the bond market sentiment marginally recovered, but the bullish momentum was still weak. The long - end active bonds were basically flat compared to the previous week. The yield curve continued to steepen, with the long - end 10Y treasury bond yield rising the most and the 1Y policy bank bond yield falling the most [39][40]. 3.4 High - Frequency Data: Mainly Declining Operating Rates - On the production side, the operating rates of blast furnaces, semi - steel tires, petroleum asphalt, and PTA all declined, and the average daily crude steel production in mid - August had a year - on - year growth rate of - 0.4% [46]. - On the demand side, the year - on - year growth rates of passenger car manufacturers' wholesale and retail sales declined. The year - on - year growth rate of commercial housing transaction area was still significantly negative. The SCFI and CCFI composite indices changed by 2.1% and - 1.6% respectively [46]. - On the price side, crude oil, copper, and aluminum prices rose, coal prices were divided, and the prices of building materials, cement, and glass in the mid - stream changed to different extents. The output of rebar increased, and the inventory continued to rise rapidly. Vegetable prices rose, fruit prices changed slightly, and pork prices fell [47].