Group 1 - The Federal Reserve has lowered the target range for the federal funds rate from 4.00%-4.25% to 3.75%-4.00%, a decrease of 25 basis points, and has decided to end quantitative tightening (QT) [1] - The global stock market momentum has significantly rebounded with the Fed restarting the interest rate cut cycle, which typically benefits risk assets when the economy is not in recession [1] - Current asset market valuations are high, with stock price-to-earnings ratios generally exceeding historical averages by more than one standard deviation, indicating potential market volatility due to the "FOMO" phenomenon, particularly in AI-related sectors [1] Group 2 - Interest in the A-share market among individual investors in mainland China is rising, with a trend of shifting from bank deposits to non-bank financial institutions, indicating increased participation in the stock market [2] - Foreign institutional investors remain underweight in the Chinese market, although the degree of underweight has narrowed; a clearer recovery signal in corporate earnings is needed to sustain upward momentum in the stock market [2] - Five key focus areas for industry selection include: 1) Continued development of the AI industry chain, with improved competition in the internet sector; 2) Strengthening of China's manufacturing advantages and breakthroughs in critical technologies; 3) Positive marginal changes in China's medical policies benefiting the biopharmaceutical sector; 4) Improved profit outlooks in chemicals and raw materials due to "anti-involution"; 5) Potential capital shifts from high-dividend sectors like telecommunications, banking, and utilities to cyclical and growth assets [2]