Group 1 - The market is currently in a wait-and-see mode due to a lack of short-term news and the completion of Q2 macroeconomic data, leading to a consolidation phase with reduced trading volume [1] - The Shanghai Composite Index is at its yearly high and near the upper boundary of a previous trading range, while other indices have not reached their yearly highs, indicating a need for short-term consolidation and rotation [1] - Market hotspots are primarily characterized by rotation, with insufficient sustainability and stability, making it more suitable for high-frequency trading investors like quantitative funds [1] Group 2 - Low valuation and high dividend yield sectors, such as insurance and banking, experienced adjustments on Wednesday, contributing to a decline in value-oriented investors' short-term activity and impacting the overall index [1] - The short-term market outlook remains focused on consolidation around current levels, with attention on trading volume and changes in market hotspots [1] - If there is a clear influx of new capital, there is a significant opportunity for upward breakout; otherwise, the market will likely continue to experience localized rotation and horizontal consolidation [1]