Market Overview - A-shares experienced a decline on July 31, with over 4200 stocks in the red and a total trading volume of 1.9 trillion, an increase of 917.6 billion from the previous day [1] - The Shanghai Composite Index fell by 1.18%, the Shenzhen Component Index by 1.73%, and the ChiNext Index by 1.66% [1] - Analysts attribute the market weakness to three main factors: uncertainty from the Federal Reserve's meeting affecting global risk assets, policy expectations combined with technical market corrections, and rising funding rates leading to bond market adjustments that suppress stock market risk appetite [1] Sector Performance AI Hardware Stocks - AI hardware stocks saw a collective rise, with Zhongji Xuchuang reaching a historical high, and companies like Lian Te Technology and Tianfu Communication also gaining [4] - Meta's second-quarter revenue was reported at $47.52 billion, a 22% year-on-year increase, exceeding expectations, which positively impacted the stock market [4] Liquid Cooling Server Sector - The liquid cooling server sector experienced a surge, with Yingwei Ke achieving two consecutive trading limits and Binglun Environment hitting the upper limit [5] - A report indicated that the value of the Socket solution is expected to increase from 600,000 to over 700,000, with significant changes in the usage of cold plates and quick connectors [5] Assisted Reproductive Technology - The assisted reproductive technology sector continued its strong performance, with Yangguang Dairy and Anzheng Fashion achieving three consecutive trading limits, and companies like Gongtong Pharmaceutical and Hanshang Group hitting the upper limit [3] - A government policy was released to enhance reproductive support, including adjustments to medical insurance coverage for relevant services [3] Innovative Drug Sector - Innovative drug stocks remained active, with Nanjing New Pharmaceutical, Qizheng Tibetan Medicine, and Anke Biological hitting the upper limit, while Haitai Biological also saw gains [6] - A significant licensing agreement was announced between Shiyao Group and Madrigal Pharmaceuticals, with a total transaction value potentially reaching $2.075 billion [7] Institutional Insights - Guotai Junan Securities highlighted that the current market is close to previous highs, but there are still "low-position assets" worth exploring, as the overall valuation expansion is not overly aggressive compared to fundamental recovery [8] - Dongfang Securities noted that the market is in a sustained upward trend with ample trading volume, attracting new capital, and there is no immediate risk of a market reversal [9]

Core Viewpoint - The market indices experienced a decline, with the ChiNext Index dropping over 1.00%, indicating a bearish trend in the market [1] Group 1: Market Performance - The Shanghai Composite Index fell by 0.17% [1] - The Shenzhen Component Index decreased by 0.54% [1] - Nearly 3,500 stocks in the Shanghai, Shenzhen, and Beijing markets saw declines [1] Group 2: Sector Performance - Sectors such as infant and child products, water and electricity infrastructure, and stablecoins faced significant declines [1]