A-share market opens with Shanghai Composite Index up by 0.02%. AI healthcare, non-ferrous metals, and engineering machinery sectors are showing active performance.

A-shares' three major stock indexes collectively opened higher, with the Shanghai Composite Index up 0.02% and the Growth Enterprise Market Index up 0.26%. In terms of the market, AI healthcare, non-ferrous metals, and engineering machinery sectors are showing active performance. Market Outlook 1. Haitong: The technology sector is the medium-term trend, currently focusing on consumer healthcare and real estate. Haitong believes that there is already a phase of foreign capital inflow, with an estimated inflow of nearly RMB 20 billion into A-shares through the Northbound channel in January and February, and a maximum inflow of about HKD 18 billion into Hong Kong stocks after the Spring Festival. Taking Hong Kong stocks as a reference, this round of inflow may be dominated by short-term flexible foreign capital, and there may also be a phase of inflow of long-term stable foreign capital, with a structural preference for Hong Kong's technology. The spring market may already be halfway through, with the technology sector led by the concept of the "Seven Giants" in China as the medium-term trend. It is more important to focus on sectors with expectation gaps such as consumer healthcare and real estate. 2. Caitong: Policy implementation at the two sessions will further increase risk appetite. Caitong believes that the two sessions' policy driving will accelerate the revaluation of A-shares. The weakening of the US dollar continues to create a favorable external environment for the revaluation of Chinese assets. The implementation of policies at the two sessions will further enhance market risk appetite. Referring to past experience, after the two sessions, attention can be further focused on an offensive trend focusing on small-cap/thematic/growth/technology sectors. 3. Orient: Companies with better-than-expected performance are expected to attract stable funds. Orient believes that overall, with the convening of the two sessions and the arrival of the performance disclosure period at the end of March, attention to policies and corporate financial reports will increase. Listed companies with better-than-expected performance are expected to attract the attention of stable funds, and the AI+ direction that can verify real industrial progress is still worth noting. This article is reproduced from "Tencent Stock Selection", edited by Xu Wenqiang.