A-share market summary: Market turnover continues to shrink for 3 consecutive days, but surges by 70%! Solid-state batteries are in high demand.

Today, the market experienced a weak and volatile trend, with heavyweight sectors such as oil and gas plunging, and the Shanghai Composite Index closing below the 2800 points mark, while the Innovation and Entrepreneurship Index showed more resilience. Looking at the market, the solid-state battery sector surged again, with South Energy rising over 70% in the past three trading days; the pharmaceutical and commercial themes were active, with stocks like Shu Yu Civilian Pharmacy Corp., Ltd., LBX Pharmacy Chain Joint Stock, among others, hitting the limit up; the oil and gas sector led the market decline today, with Petrochina and CNOOC Limited both falling over 5%; the consumer electronics sector saw divergent trends, with several stocks adjusting in the foldable screen segment. Overall, trading volume continued to shrink, with over 3800 stocks falling in the two markets. Specifically, the battery sector showed strength, with solid-state batteries leading the way, and Zhejiang Narada Power Source rising over 70% in the past three trading days. News emerged from the Qingdao Institute of Bioenergy and Process Research of the Chinese Academy of Sciences that they have developed a new lithium sulfide positive electrode material for solid-state lithium-sulfur batteries, with an energy density exceeding 600 watt-hours per kilogram, more than twice the energy density of currently commercialized lithium-ion batteries, and lower cost. The pharmaceutical and commercial sector showed strength, with LBX Pharmacy Chain Joint Stock, Shu Yu Civilian Pharmacy Corp., Ltd., HPGC Renmintongtai Pharmaceutical Corporation, among others, hitting the limit up. Soochow pointed out that the investment logic of the prescription outflow and concentration improvement in the chain pharmacy industry remains unchanged. The rapid implementation of outpatient policy will have short-term pressure on the quantity and price of stores, but long-term benefits. Pharmacy expansion post-epidemic will gradually relieve short-term operational pressure, but industry valuations are still at historical lows. With operational and coordination improvements, the pharmacy sector is expected to achieve a dual increase in performance and valuation. In terms of focus stocks, Zhejiang Dragon Technology closed limit-down at the end of the day with a trading volume exceeding 500 million, after two consecutive limit-ups. The company warned of risks, stating that the PBO monomer business is still in the market cultivation stage, with revenue accounting for less than 5% in the first half of the year. Today's newly listed GEM stock Futu Technology surged over 300%, the company is a leading provider of in-vehicle high-voltage power supply systems, deeply tied to Guangzhou Automobile Group, NIO, and Xiaomi cars, and is the exclusive supplier of high-voltage power supply systems for multiple models of the aforementioned companies. Huawei's Hisilicon head Shenzhen Huaqiang Industry once again hit the limit up at the end of the day, marking 14 consecutive limit ups in 15 days, with a trading volume exceeding 4.3 billion yuan. Looking at individual stocks, in the two markets, 1291 stocks rose, 3873 stocks fell, and 187 stocks remained unchanged. There were a total of 44 limit-up stocks and 38 limit-down stocks. By the close, the Shanghai Composite Index fell by 0.67% to 2784.28 points, with a turnover of 234.7 billion yuan; the Shenzhen Component Index fell by 0.51% to 8226.24 points, with a turnover of 324.7 billion yuan. The GEM Index fell by 0.11% to 1554.64 points. Capital flow Today, the main funds focused on the banking, pharmaceutical and commercial, and battery sectors for heavy buying, with top net inflows from stocks such as Agricultural Bank of China, Jiangsu Rijiu Optoelectronics Jointstock, Contemporary Amperex Technology, among others. News recap 1. The Ministry of Industry and Information Technology and eleven other departments jointly issued a document to promote the coordinated development of new information infrastructure The Ministry of Industry and Information Technology, the Cyberspace Administration of China, the Ministry of Education, the Ministry of Finance, the Ministry of Natural Resources, the Ministry of Housing and Urban-Rural Development, the Ministry of Agriculture and Rural Affairs, the National Health Commission, the People's Bank of China, the State-owned Assets Supervision and Administration Commission of the State Council, and China National Railway Group Co., Ltd., and eleven other departments jointly issued a notice to promote the coordinated development of new information infrastructure. The notice aims to promote coordinated development by taking into account the technical development trends of new information infrastructure and the needs of economic and social development, with a focus on promoting cross-regional, cross-network, and cross-industry collaborative construction of new information infrastructure, proposing seven main tasks, including overall national layout, cross-regional coordination, cross-network coordination, cross-industry coordination, coordination with green development, coordination with security, and inter-department policy coordination. 2. Huawei: First to release new Wi-Fi 7 products, the "Star Cloud Plan" will soon be launched nationwide According to Huawei's official data communication microblog, on September 4th, the 2024 Smart AllianceHuawei Data Communication Innovation Forum will be held. With the rapid growth of China's digital economy and intelligent applications, driven by policy guidance and industrial transformation, data communication is entering a key period of intergenerational upgrade. Huawei is the first to release Wi-Fi 7 new products, as well as industry-intelligent solutions for small and medium-sized enterprise networks, to promote the transition of park networks from connection-building era to experience-building era. On September 4th, Huawei will hold the "Awaiting Millions with '7', Renewing 'New' Upgrade and High-Quality Network"Star Cloud Plan"national launch event in Shanghai. 3. August Caixin China Services PMI drops to 51.6 The Caixin China General Services Business Activity Index (Services PMI) recorded 51.6 in August, down by 0.5 percentage points from July, marking the second-lowest point of the year, indicating that the service industry continues to grow but at a slower pace. 4. Chinese scientists achieve new breakthrough in all-solid-state battery materials According to the Qingdao Institute of Bioenergy and Process Research of the Chinese Academy of Sciences, researcher Wu Jianfei and his Advanced Energy Storage Materials and Technology Research Group have developed a new lithium sulfide positive electrode material for all-solid-state lithium-sulfur batteries, with an energy density exceeding 600 watt-hours per kilogram. This research provides a new method and idea for the development of high-energy-density all-solid-state batteries, with an energy density more than twice that of currently commercialized lithium-ion batteries, and lower cost. The research results were published in the international academic journal "Small"."Bonjour, comment a va ?" "Hello, how are you?"1. Market Outlook China Securities Co., Ltd. believes that currently, with the background of a performance vacuum period and still evident fundamental pressures from domestic economic data, policies are expected to continue to exert force, which may help restrain the downside space of the market; in addition, the convening of various technology industry conferences this month may drive related thematic investment opportunities and help enhance structured market performance. In the medium to long term, with the A-share market currently below 3000 points, it still maintains valuation advantages, and the value of allocation is highlighted, making it a good choice to buy on dips. 2. Tianfeng: New energy and unmanned transportation will reshape the transportation pattern Tianfeng's research report states that the application of new energy and unmanned driving technology will significantly reduce energy and labor costs, and the gradual expiration of highway tolls will also reduce toll fees. The overall cost of road transportation is expected to significantly decrease, with a predicted increase in market share. In the passenger transport sector, ride-hailing and carpooling services are gradually diverting traditional taxis and high-speed rail markets; in the freight transport sector, environmentally friendly vehicles such as natural gas heavy trucks will divert from railway freight. The promotion of intelligent driving policies will also increase traffic flow and capacity, benefiting related companies such as DiDi, DIDA INC, and Zhongtong Express significantly. 3. CITIC SEC: Computing power industry chain remains a good choice for asset allocation CITIC SEC's research report believes that the computing power industry chain, with multiple links, large scale, and good growth potential, remains a good choice for asset allocation. The computing power chip, server, and network communication links are the largest sub-domains of the computing power industry chain, with performance elasticity of chips and AI servers estimated to be more than 4 times that of 2023, and optical modules to have more than 2 times performance elasticity. In terms of domestic substitution, the second quarter of 2024 is expected to see a turning point in the economic viability of chips, which may promote commercial cycles. It is recommended to focus on global and domestic leading computing power chip companies, server companies with core cooperation with chip manufacturers, and leading companies in optical modules. This article is reproduced from "Tencent Self-selected Stocks", edited by GMTEight: Liu Jiayin.