Report Summary of Shipping Industry 1. Report Industry Investment Rating No relevant content provided. 2. Core Viewpoints - The core issue is the direction of spot freight rates, and the tariff issue has a marginal effect. The main contract may be in the process of bottom - building. It is recommended to participate lightly or wait and see [3]. - Attention should be paid to tariff policies, the Middle East situation, and spot freight rates [3]. 3. Summary by Related Information Shipping Market Information - On November 3, the Shanghai Export Container Settlement Freight Index (SCFIS) for the European route was 1208.71 points, a 7.9% decrease from the previous period; the SCFIS for the US - West route was 1267.15 points, a 14.4% increase from the previous period. The Ningbo Export Container Freight Index (NCFI) composite index on October 31 was 1100.32 points, a 12.60% increase from the previous period; the NCFI for the European route was 965.62 points, a 17.43% increase; the NCFI for the US - West route was 1452.82 points, a 12.30% increase [2]. - On October 31, the Shanghai Export Container Freight Index (SCFI) was 1550.70 points, a 147.24 - point increase from the previous period; the SCFI European line price was 1344 USD/TEU, a 7.87% increase; the SCFI US - West route was 2647 USD/FEU, a 22.94% increase. The China Export Container Freight Index (CCFI) composite index was 1021.39 points, a 2.9% increase; the CCFI for the European route was 1323.81 points, a 2.4% increase; the CCFI for the US - West route was 772.67 points, a 4.9% increase [2]. Market Sentiment and Policy Impact - CMA was the first to announce a freight rate increase for the second half of November, which boosted bullish sentiment to some extent. The afternoon sentiment gradually warmed up, and the market quickly rose [3]. - The US and China have a series of tariff adjustments. The US will cancel the 10% so - called "fentanyl tariff" on Chinese goods, and the 24% reciprocal tariff on Chinese goods will be suspended for another year. China will adjust its counter - measures accordingly, and both sides agree to extend some tariff exclusion measures [5]. Trading Data - On November 4, the main contract 2512 closed at 1909.9, with a decline of 3.82%, a trading volume of 29,700 lots, and an open interest of 30,900 lots, an increase of 1595 lots from the previous day [3]. Strategy Recommendations - **Short - term Strategy**: The main contract is weak, and the far - month contracts are strong, which is in line with the bottom - building judgment. Risk - takers who were recommended to build positions in the EC2512 contract below 1500 (with a profit margin of over 300 points) can consider partial profit - taking. Pay attention to the subsequent market trend, do not hold losing positions, and set stop - losses [4]. - **Arbitrage Strategy**: In the context of international situation turmoil, each contract still follows the seasonal logic and has large fluctuations. It is recommended to wait and see temporarily or try with a light position [4]. - **Long - term Strategy**: It was recommended to take profits when the contracts rose, wait for the correction to stabilize, and then judge the subsequent direction [4]. Other Information - The eurozone's October manufacturing PMI preliminary value was 45.9 (expected 45.1, previous value 45), the service PMI preliminary value was 51.2 (expected 51.5, previous value 51.4), and the composite PMI preliminary value was 49.7 (expected 49.7, previous value 49.6). The eurozone's October Sentix investor confidence index had a previous value of - 9.2 and a forecast value of - 8.5 [2]. - In October, China's manufacturing PMI was 49.0%, a 0.8 - percentage - point decrease from the previous month, and the composite PMI output index was 50.0%, a 0.6 - percentage - point decrease from the previous month, indicating overall stable production and operation activities of Chinese enterprises [2]. - The US October S&P Global service PMI preliminary value was 55.2 (expected 53.5, previous value 54.2), the manufacturing PMI preliminary value was 52.2 (expected 52, previous value 52), and the composite PMI preliminary value was 54.8 (expected 53.1, previous value 53.9) [3]. - The price limits for contracts 2508 - 2606 were adjusted to 18%, the company's margin for contracts 2508 - 2606 was adjusted to 28%, and the daily opening limit for all contracts 2508 - 2606 was 100 lots [4].