A-shares closing review | Trading volume has declined again! Banking sector protects the market, high-flying stocks surge collectively at the end of trading.

On April 24th, the A-shares fluctuated and differentiated all day, with the three major indexes showing mixed movements. Nearly 3700 stocks in the market were in the green, with a total turnover of 1.1 trillion throughout the day, a decrease of 120.7 billion from the previous trading day. At the close, the Shanghai Composite Index rose by 0.03%, the Shenzhen Component Index fell by 0.58%, and the ChiNext Index fell by 0.68%. According to Securities Times, analysts believe that there is no apparent negative news on the market. After the so-called "equal tariffs" from the United States, many stocks showed stronger performance and the bullish advantage became more obvious. For some time before, various stock index futures had consecutive contango trends, which may indicate that the bulls have strong buying power in the spot market. However, as the market progresses and the long holiday approaches, there may be some profit-taking situations in the market. In terms of the market, funds are focusing on performance-driven speculation, with power, banking, and other high-dividend sectors protecting the market, and the industrial, agricultural, and commercial sectors setting new highs. Popular stocks at high levels surged at the close, with Anji Foodstuff and Gansu Guofang Industry & Trade both hitting the "limit up" circuit breaker, while Leshan Electric Power reversed its decline to hit the limit up. The wind power sector strengthened, with Shanghai Electric Wind Power Group leading the gains, and the pet economy concept saw increases, with Yantai China Pet Foods hitting the limit up to a new high. Vitamin and innovative pharmaceutical stocks were active, with Kingchem and others hitting the limit up. In addition, the lithium mining and real estate sectors also showed some performance during the day. On the downside, cross-border payment concepts weakened, with the consumer electronics and semiconductor sectors leading the declines. Looking ahead, Ping An Securities pointed out that the short-term equity market is still in a period of oscillation and consolidation, and is expected to maintain its relative advantage over overseas markets with the support of domestic policy protection and the resilience of domestic demand. Hot sectors: 1. Power sector strong The power sector fluctuated and rose, with DaTang HuaYin Electric Power, Hunan Chendian International Development, Leshan Electric Power and others hitting the limit up, while Ning Xia Yin Xing Energy, Chn Energy Changyuan Electric Power, Jointo Energy Investment and others rose. Analysis: DaTang HuaYin Electric Power announced that the net profit for the first quarter of 2025 increased by 894% year-on-year. GF SEC stated that the fundamentals of the power sector are continuing to improve, with the downward trend in coal prices and the optimization of the capacity electricity price mechanism enhancing the certainty of profit recovery for thermal power companies, and opportunities for hydroelectric and green electricity also present. 2. Strong pet economy concept Pet economy concept stocks collectively rose, with Hangzhou Tianyuan Pet Products hitting the 20% limit up, Yantai China Pet Foods, Tianjin Yiyi Hygiene Products also hitting the limit up, and LUSCIOUS, Gambol Pet Group and others following the upward trend. Analysis: Yantai China Pet Foods disclosed its first quarter report, with a net profit of 91.1553 million yuan in the first quarter of 2025, a year-on-year increase of 62.13%. Galaxy Securities stated that China's pet industry is expected to exceed 400 billion yuan by 2027, and changes in consumer trends such as emotional economy, scientific pet raising, and rational pet raising will bring structural opportunities. 3. Active vitamin concept Pharmaceutical stocks rose, led by vitamins and innovative drugs, with Kingchem, Hunan Er-kang Pharmaceutical hitting the 20% limit up, and Qianjiang Yongan Pharmaceutical, Luoxin Pharmaceuticals Group Stock, Lionco Pharmaceutical Group and others also hitting the limit up. Analysis: Zhejiang Haisheng raised the domestic offer price of feed-grade vitamin D3 to 600 yuan/kg; major domestic manufacturers have collectively ceased quoting, and the European market is facing a shortage of inventory. In addition, the first quarter performance of many pharmaceutical companies was impressive. China Securities Co., Ltd. stated that China's competitiveness in innovative drugs continues to increase, the NewCo model has become a new choice for innovative drug exports, national policies encourage the development of innovative drugs, new technologies drive rapid industry development, and remains optimistic about the innovative drug industry. Institutional viewpoints: 1. Ping An Securities: A-shares are expected to maintain a relative advantage over overseas markets Ping An Securities pointed out that the short-term equity market is still in a period of oscillation and consolidation, and is expected to maintain a relative advantage over overseas markets with the support of domestic policy protection and the resilience of domestic demand; in the medium term, AI and other technological revolutions will continue to lead a new round of great power competition, and the logic of technology competition and autonomous controllability remains unchanged. Structurally, attention should be focused on two main themes: domestically controlled technology (new productive forces/advanced manufacturing/national defense and military industry, etc.) and high-quality assets in the internal consumption sector with repairing fundamentals and valuation price ratios. 2. China Galaxy: Further increase in the value of A-share market allocation China Galaxy pointed out that under the repeated disturbances of US tariff policies, some funds have adopted a wait-and-see attitude, and trading activity has cooled down. The market trend is rotating quickly, lacking a clear main theme, and short-term consolidation is likely the main trend. There is ample policy reserve, and subsequent attention will be paid to the incremental information guidance from key meetings in April. After the recent adjustments, the value of A-share market allocation has further increased. 3. Orient Securities: Market volatility and upward trend will be a more certain trend Orient Securities pointed out that in the short term, the market trend is relatively stable, having basically digested the negative disturbances caused by the "tariff war," but it is undeniable that policy support is essential.With the strong support of national forces playing a huge role, it has become an important factor in the future operation of the market. In addition, with the resilience of the domestic economy, it is certain that market fluctuations will trend upwards.This article is reprinted from "Tencent Self-selected Stock", edited by GMTEight: Chen Xiaoyi.