Market Overview - The Asia-Pacific stock markets showed strength, with the Nikkei 225 index rising over 2% to reach a historical high, while the Korean Composite Index and India's SENSEX30 index increased nearly 1% [1] - A-shares also performed well, with the Shanghai Composite Index hitting a new yearly high, and the ChiNext and Sci-Tech 50 indices showing strong performance [1] - The Hong Kong market showed slight weakness, with the Hang Seng Index experiencing a minor decline [1] Financial Sector Performance - The financial sector was overall strong, with Guosheng Financial Holdings hitting the daily limit, and Postal Savings Bank and Agricultural Bank reaching new highs during the trading session [1] Local Stocks in Xinjiang - Xinjiang local stocks showed robust performance, with companies like Bayi Steel, Beixin Road and Bridge, and Xinjiang Communications Construction achieving three consecutive daily limits [3] - The establishment of the New Tibet Railway Company, with a registered capital of 95 billion RMB, is expected to boost infrastructure, civil explosives, and cement sectors in the region [3] - The New Tibet Railway project is projected to drive a demand for approximately 40 million tons of cement over its construction period, significantly increasing cement consumption in Xinjiang and Tibet [3] Brain-Computer Interface Sector - The brain-computer interface concept saw a strong surge, with companies like Cambrian rising over 13% to surpass 800 RMB per share, and other related stocks also performing well [5] - Recent government policies aim to establish a robust brain-computer interface industry by 2027, with expectations for significant technological and industrial advancements [5][6] - The industry is anticipated to grow, with the potential for commercial applications and the emergence of leading enterprises in the global market by 2030 [6] Liquid Cooling Server Concept - The liquid cooling server concept experienced active trading, with companies like Shenling Environment rising over 15% and Industrial Fulian increasing by about 7% [8] - The demand for computing power driven by generative AI is leading to an upgrade in cooling technologies from air to liquid cooling due to increased power consumption and stricter energy efficiency regulations [8][9] - The domestic market for liquid cooling is expected to accelerate as breakthroughs in domestic computing chips occur, enhancing the adoption of liquid cooling solutions [9]

- The report introduces a "Total Heat Index" for monitoring market sentiment, which aggregates the browsing, self-selection, and click counts of individual stocks, normalized by their market share on the same day, and then multiplied by 10,000, with a value range of [0,10000][7] - The "Total Heat Index" is used as a proxy variable for "emotional heat" to track the sentiment of broad-based indices, industries, and concepts[7] - The report constructs a simple rotation strategy based on the weekly heat change rate (MA2) of broad-based indices, buying the index with the highest heat change rate at the end of each week, and staying out of the market if the highest change rate is in the "others" group[13][15] - The rotation strategy based on the heat change rate (MA2) of broad-based indices has an annualized return of 8.74% since 2017, with a maximum drawdown of 23.5%, and a return of 8.32% since 2025[16] - The report also constructs two simple portfolios based on the heat change rate of concepts, selecting the top 5 concepts with the highest heat change rate at the end of each week, and forming a "TOP" portfolio with the top 10 stocks by total heat in each concept, and a "BOTTOM" portfolio with the bottom 10 stocks by total heat in each concept[31] - The "BOTTOM" portfolio of high-heat concepts has historically achieved significant excess returns, with an annualized return of 15.71% and a maximum drawdown of 28.89%, and a return of 18% since 2025[33] - The "Total Heat Index" for individual stocks is defined as the sum of browsing, self-selection, and click counts, normalized by their market share on the same day, and then multiplied by 10,000, with a value range of [0,10000][7] - The "Total Heat Index" for broad-based indices is obtained by summing the total heat indices of the constituent stocks of the indices, including CSI 300, CSI 500, CSI 1000, and CSI 2000, as well as an "others" group for stocks not included in these indices[8] - The weekly heat change rate (MA2) for broad-based indices is calculated and used to construct a rotation strategy, buying the index with the highest heat change rate at the end of each week, and staying out of the market if the highest change rate is in the "others" group[13][15] - The weekly heat change rate (MA2) for industries is calculated similarly, with the report listing the top 5 industries with the highest positive and negative heat change rates for both primary and secondary industries[20][27] - The weekly heat change rate for concepts is calculated similarly, with the report listing the top 30 concepts with the highest heat change rates[28][30] - Two simple portfolios are constructed based on the heat change rate of concepts, selecting the top 5 concepts with the highest heat change rate at the end of each week, and forming a "TOP" portfolio with the top 10 stocks by total heat in each concept, and a "BOTTOM" portfolio with the bottom 10 stocks by total heat in each concept[31] - The rotation strategy based on the heat change rate (MA2) of broad-based indices has an annualized return of 8.74% since 2017, with a maximum drawdown of 23.5%, and a return of 8.32% since 2025[16] - The "BOTTOM" portfolio of high-heat concepts has an annualized return of 15.71% and a maximum drawdown of 28.89%, and a return of 18% since 2025[33]