- The report compares the performance of the Sci-Tech Innovation Board 50 Index (STAR 50), ChiNext Index, and CSI All Share Index before and after the tariff war escalation on April 2, 2025, and October 10, 2025[7][8][9] - The report highlights the increase in the proportion of stocks hitting new highs within the past year across various indices, indicating a higher market recognition and trend strength compared to early April 2025[10][11][12] - The turnover rate of the STAR 50 Index is significantly higher, suggesting a potential overheating and correction risk, while the ChiNext Index and CSI All Share Index have moderate turnover rates[27][28][32] - The valuation metrics (PE_TTM) for the three indices have increased significantly since April 2025, indicating higher market valuations and potential short-term volatility and correction risks[33][37] - The financing balance of the three indices has increased substantially, reflecting a stronger bullish sentiment in the market, but the current market overheating level is lower compared to the 2015 bull market peak[38][39][43] - The report compares the performance of various industries before and after the tariff war escalation, noting that the computer, electronics, and media industries performed well before the escalation, while the communication, non-ferrous metals, and electronics industries performed well after the escalation[44][45][47] - The valuation levels of most industries have increased since April 2025, with the average price-to-book ratio and price-to-earnings ratio percentiles rising significantly, indicating higher market valuations and potential short-term risks for high-valuation sectors[46][48][50] - The report emphasizes the need to be cautious of sectors with high valuation percentiles and recent high trading activity, such as the computer and electronics industries, which may experience short-term volatility[46][54][55]