A-share Market Morning Update | Three major stock indexes collectively open lower, precious metals and other sectors lead the decline.

A-shares three major stock indexes collectively opened lower, with the Shanghai Composite Index falling by 0.17% and the ChiNext Index falling by 0.37%. On the market, precious metals, AI data, internet e-commerce and other sectors are leading in terms of decline. Market Outlook: Galaxy Securities: A-shares market will usher in a structural valuation reshaping opportunity Currently, the valuation of the A-shares market is at a historically moderate level. On one hand, with the accelerated implementation of existing policies and the introduction of a series of incremental policies, the economic fundamentals are gradually improving. On the other hand, with Trump re-elected as President of the United States, US policy towards China faces significant uncertainty. However, in the medium to long term, the economic fundamentals of China and the profitability of A-shares mainly depend on the direction and strength of domestic policy measures. Looking ahead, A-shares are expected to oscillate upwards. In terms of allocation, focus on: (1) the theme of technological innovation based on the logic of independent controllability and the development of new quality productivity. (2) the "two heavy" and "two new" themes under the expansion of domestic demand orientation. (3) continue to favor the dividend sectors with high safety margins, with a focus on central state-owned enterprises. Orient Securities: Mainstream hotspots continue to emerge, the spring market is expected to continue After the Spring Festival, market trading volume has significantly increased, leading the stock indices to steadily rise, indicating that market participants have become more positive about the stock indices, greatly boosting investors' confidence in going long. The mainstream hotspots continue to emerge, increasing active funds focusing on long-term themes. In the short term, this situation will continue; the Shanghai Composite Index consolidates around the 60-day moving average, with a high probability of successful breakthrough. The hot themes continue to revolve around the DS concept, humanoid Siasun Robot & Automation, new energy vehicles, restructuring and mergers, and the spring market is expected to continue. Minsheng Securities: AI is the focus, but not the only answer to investment Minsheng Securities believes that if the macro narrative assumption behind AI is true, the all-market assets represented by the CSI 300 should be revalued. If the ultimate outcome of AI development falls short of expectations, the scenario where physical assets benefit more after the weakening of the US dollar credit might occur. Therefore, we make the following recommendations: 1. Global pricing resources consider both demand and physical assets, with a preference for copper, gold, aluminum, oil, and coal; 2. Repair in some domestic cyclical sectors with relatively low pricing in the early stage can be expected: steel (special materials), equipment (transportation equipment, engineering machinery), agricultural chemicals, chemical products, transportation, and China's advantageous assets: new energy industrial chain, etc.; 3. Continue to focus on the undervalued + dividend attribute bank sector; 4. Switching between high and low within the AI sector, focusing on AI office and AI autonomous driving directions with smaller previous gains. This article is reprinted from "Tencent Stock Picks", GMTEight editor: Xu Wenqiang.