A-share market closing report | The Shanghai Composite Index slightly fell, while the innovation-driven startups collectively rebounded! Chips sprint in the raceway.

Today, the market is shaking and diverging, with the ChiNext and STAR Market collectively rebounding, but the overall strength is weak, and the Shanghai Composite Index ultimately closed slightly down. There was a rapid rotation of themes, with strong performance in tech themes such as chips and humanoid Siasun Robot&Automation. The market traded 1.5 trillion throughout the day, a decrease of over a trillion from the previous trading day, with over 3800 stocks in the two markets falling. On the plate, the Siasun Robot&Automation sector erupted strongly, with multiple stocks such as Jiangxi Huawu Brake and Zhejiang RIFA Precision Machinery hitting the limit up. In terms of news, the Trump administration is considering issuing an executive order next year regarding Siasun Robot&Automation technology, and the Tesla Optimus Prime team released a short video of a humanoid Siasun Robot&Automation running. The team wrote: "Just broke my personal record in the laboratory." Siasun Robot&Automation announced the official release of its full-size, extremely efficient humanoid Siasun Robot&Automation, the Siasun T800, with the product sales process officially launched thereafter. The commercial aerospace sector was active, with multiple stocks like China Spacesat hitting the limit up. Shanxi stated that China's commercial aerospace industry is expected to become a key direction in the "15th Five-Year Plan," and the establishment of regulatory authorities and policy improvements will continue to promote the high-quality development of China's commercial aerospace industry, benefiting the entire industry chain. In other hot spots, semiconductor and chip stocks surged, with stocks like Hua Hong Semiconductor, Advanced Micro-Fabrication Equipment Inc. China, and Changsha Jingjia Microelectronics leading the gains. Sinolink stated that with AI driving storage technology towards 3D, coupled with domestic storage giants like Changxin and Changcun expanding production projects, the domestic semiconductor equipment industry chain is expected to usher in a new round of high-speed growth opportunities. In other hot spots, sports concept stocks showed partial movements, with Shuhua Sports hitting the limit up in the afternoon; the Fujian sector was active, with Shengyuan Environmental Protection rising over 10%. In terms of declines, sectors like consumer goods, basic chemicals, and coal mining led the losses. Looking at individual stocks, there were 1455 gainers and 3878 losers in the two markets, with 123 stocks remaining unchanged. There were a total of 40 limit up stocks and 28 limit down stocks. As of the close, the Shanghai Composite Index fell by 0.06% to 3875.79 points, with a turnover of 623.7 billion yuan; the Shenzhen Component Index rose by 0.40% to 13006.72 points, with a turnover of 925.3 billion yuan. The ChiNext Index rose by 1.01% to 3067.48 points. Fund Flow Today, major funds focused on acquiring shares in household appliance components, automotive components, professional equipment, and other sectors. Stocks that saw major net inflows from major funds included Zhejiang Sanhua Intelligent Controls, Greatoo Intelligent Equipment Inc., and Suzhou TFC Optical Communication. News Recap 1. General Administration of Sport: Expand the supply of social basketball events, strengthen the integration of events with business, travel, and culture The General Administration of Sport issued "Opinions on Further Promoting the Reform and Development of Basketball," aiming to expand the supply of social basketball events. It supports qualified regions to hold provincial leagues, city leagues, rural leagues, and create branded events. Adhering to the principles of diversity and tailored approaches, various provinces (regions, cities) are encouraged to hold social basketball events covering different jurisdictions and age groups. Encourage events to enter tourist areas, neighborhoods, and commercial areas, and strengthen the integration of events with business, travel, and culture. 2. In the first 11 months, cumulative transactions of second-hand residential buildings in first-tier cities exceeded 510,000 units for the first time in nearly four years Data released by the E-house Research Institute shows that in November, the number of transactions of second-hand residential buildings in first-tier cities reached 49,033 units, setting a new high in seven months, indicating a significant month-on-month increase of 20%, surpassing the transaction levels of the traditional peak season in September. In the first 11 months of this year, cumulative transactions of second-hand residential buildings in first-tier cities exceeded 510,000 units, a year-on-year increase of about 5%, marking the first time in nearly four years to break through the 510,000 unit mark. 3. Hubei: Deepen the reform of state-owned assets and enterprises, with new investments exceeding 1.5 trillion yuan in the next five years Chen Zhong, Party Secretary and Director of the Hubei Provincial State-owned Assets Supervision and Administration Commission, stated that looking towards the "15th Five-Year Plan," they will vigorously implement the "core function upgrading" action to overall enhance modern infrastructure support. They will construct a core function system based on strategic support, element guarantees, and people's livelihood services, focusing on the areas of "strategic competition" and "lifeline protection," with new investments exceeding 1.5 trillion yuan in the next five years to provide strong foundation support for the establishment of pivotal hubs; they will vigorously implement the "service expansion and quality improvement" action to overall enhance the integration of modern service industry. 4. Ministry of Housing and Urban-Rural Development: In the first 10 months, nationwide construction of 25,100 old urban residential areas commenced By 2025, the country plans to commence construction of 25,000 renovations of old urban residential areas. According to statistics and reports from various regions, from January to October, 25,100 projects commenced the renovation of old urban residential areas nationwide. By region, 16 regions including Hebei, Inner Mongolia, Liaoning, Jilin, Shanghai, Jiangsu, Anhui, Fujian, Jiangxi, Hainan, Chongqing, Yunnan, Shaanxi, Gansu, Qinghai, and the Xinjiang Production and Construction Corps have completed the annual renovation plan of old urban residential areas. Market Predictions 1. CMSC: In December, it is recommended to focus on large-cap styles and pay attention to coal, basic chemicals CMSC believes that looking into December, after three months of accumulating strength in the market, it is finally time to choose a direction, and the probability of launching a year-end market rally by breaking through the upside seems high. Firstly, 2026 is a crucial year before the 21st National Congress. With current weak data, there is a high probability of senior leaders setting more proactive economic policies in December, which will help boost confidence in the current economic and corporate profit recovery. Key recommendations to focus on: some cyclical sectors such as coal, basic chemicals, and steel; mid-to-high-end manufacturing sectors such as national defense, military industry, and power equipment, as well as non-bank sectors with continuously improving performance. 2. GF SEC: Spring volatility is worth anticipating, market will shift from large-cap style to small-cap style GF SEC's research report shows that the phase that is most adverse to institutions is about to pass. In November each year, the market's correlation with fundamentals is weakest. However, as we enter December, the effectiveness of pricing based on fundamentals will gradually strengthen. December to January is a good time to prepare for the spring volatility, especially for those directions that are not likely to experience major surprises in their annual report forecasts and have a good outlook for next year's economic trends. Considering that as of last Friday, the market's downside adjustments in many sectors have reached the average level of historically leading varieties (around 20%), December can gradually be included in the observation range. There are two important time points in the spring every year: the Spring Festival and the Two Sessions. During this period (from the Spring Festival to the Two Sessions), the market has a good "money-making effect," known as the "spring volatility" window, which typically lasts for about 20 trading days. Around the Spring Festival, the market transitions from: (1) low success rate to high success rate; (2) large-cap style to small-cap style. 3. Orient: Large index is unlikely to make significant moves in the short term, cyclical and consumer stocks may have a relative advantage Orient points out that the stock index continues the downtrend, but there has been movement in sectors, with electricity and coal showing strength. The weak defense characteristics are apparent, and these dividend assets are expected to perform in the short term. Overall, the large index is unlikely to make significant moves in the short term. Shanghai Composite Index has shown a double bottoming trend on a small timeframe, but the downside is limited, with some support near 3850 points, which is still part of a medium-term range-bound market; in terms of industry allocation, some cyclical stocks and consumer stocks may have a relative advantage. This article is reprinted from "Tencent Stocks", GMTEight Editor: Liu Jiayin.