Domestic Macro - On October 17, the Ministry of Finance announced that it will advance the issuance of the 2026 new local government debt limit this year, with an increase of 100 billion yuan compared to last year, supporting a broader range of projects [4][16]. - On the same day, the National Development Bank issued nearly 190 billion yuan in new policy financial instruments, focusing on supporting major economic provinces and increasing support for private investment and new productivity sectors, which is expected to drive total project investment of 2.8 trillion yuan [4][16]. - The Fourth Plenary Session of the 20th Central Committee began on October 20, with General Secretary Xi Jinping delivering a work report, emphasizing the goal of achieving a per capita GDP level of a moderately developed country by 2035 and deploying seven major tasks for high-quality development [4][16]. Industry Policy - On October 17, the Ministry of Commerce's Trade Relief Investigation Bureau decided to hold a hearing on the EU's anti-dumping case regarding pork and pork products [5][19]. - The State Council, led by Premier Li Qiang, emphasized the importance of logistics in facilitating the domestic circulation and developing a modern industrial system during a State Council executive meeting on the same day [5][19]. - On October 20, the Ministry of Industry and Information Technology organized a meeting to discuss stabilizing growth in the cement industry, stressing the need to implement the "Cement Industry Stabilization Growth Work Plan (2025-2026)" [5][19]. Local Policy - On October 19, Wuhan introduced several measures to provide more benefits and support for homebuyers and enterprises [6][22]. - On October 21, the first AIC mother fund in the country was launched in Shenzhen, with a scale of 7 billion yuan, aimed at investing in the "20+8" industrial cluster [6][22]. - On October 22, the Yunnan Provincial Government issued a special action plan to financially support private enterprises, emphasizing increased financing support and optimizing credit services [6][22]. Overseas Dynamics - On October 17, U.S. President Trump signed an executive order imposing a 25% new tariff on imports of medium and heavy trucks and parts, effective November 1 [7][23]. - On October 18, S&P downgraded France's long-term foreign currency issuer default rating from "AA-" to "A+" [7][23]. - On October 20, the UK tax authority increased scrutiny of cryptocurrency investors, sending reminders to approximately 65,000 individuals suspected of tax evasion [7][23].

Group 1: Fixed Income - The prediction for June 2025 includes new loans of CNY 2.1 trillion and social financing of CNY 3.8 trillion, with M2 reaching CNY 329.2 trillion, showing a year-on-year increase of 7.9% [6][9] - The social financing growth rate is expected to be 8.8%, with the increase primarily driven by net financing from government and corporate bonds [9][10] - The report anticipates a stable M2 growth and a slight recovery in M1 growth, indicating a gradual improvement in economic activity [8][9] Group 2: Cement Industry - The central government emphasizes the need to regulate low-price competition and improve product quality in the cement industry, aiming for a more orderly exit of outdated capacity [11][12] - The industry is expected to see a marginal improvement in supply-demand dynamics, leading to a recovery in profitability, supported by falling coal prices [12][13] - The report suggests that leading companies are actively collaborating to maintain prices, indicating a strong awareness of avoiding "involution" in the industry [13][14] Group 3: Agriculture, Forestry, Animal Husbandry, and Fishery - The central government aims to eliminate "involution" in competition, focusing on protecting farmers' rights and promoting innovation in the agricultural sector [14][16] - Future agricultural development may leverage biotechnology, smart equipment, and low-carbon agriculture to enhance productivity and sustainability [14][16] - The report highlights the importance of companies that balance technological advancement with farmer interests, suggesting that firms like Dekang could lead in this transition [16][17] Group 4: Yada Co., Ltd. - Yada Co., Ltd. specializes in smart power measurement and control products, with a significant revenue increase of 24.11% year-on-year in Q1 2025 [22][23] - The company is well-positioned to benefit from the rapid growth in the new infrastructure and energy-saving sectors, with a focus on digital products [22][23] - Yada's products are widely used in critical infrastructure projects, indicating strong market demand and potential for future growth [22][24]