Morning stock market review: The ChiNext Index fell by 0.64%, with high-end themes continuing to decline. Zhejiang Fenglong Electric soared nearly three times with 14 consecutive trading days.

On January 19, the A-share market saw a decrease in trading volume in the morning session, with the Shanghai Composite Index oscillating around 4100 points. The half-day trading volume was 1.79 trillion, a decrease of 198.5 billion compared to the previous trading day. By midday closing, the Shanghai Composite Index rose by 0.13%, the Shenzhen Component Index fell by 0.01%, and the ChiNext Index fell by 0.64%. Guotai Haitong believes that recently, the themes that had seen significant gains and sparked investor interest, such as commercial aerospace/GEO, are returning to a more rational level. Trading supervision is helping to guide the market towards stability and growth. There is a faster rotation of themes, with optimism towards low-tech sectors that have strong demand support and industry catalysis, such as domestic computing power, new energy grids, Siasun Robot & Automation, and domestic consumption. In terms of market performance, there was a shift in market trends. Electrical equipment stocks saw a surge, with over 10 stocks hitting the limit up. The tourism sector also performed well, with Anhui Jiuhuashan Tourism Development hitting the limit up. The precious metals sector was active, with Sichuan Gold rising by over 9%. Commercial aerospace concepts saw a partial resurgence, with stocks like Jiangsu Jiuding New Material and Guangzhou Yuexiu Capital Holdings Group hitting the limit up. Siasun Robot & Automation concept also saw a boost, with Zhejiang Fenglong Electric hitting the limit up for 14 consecutive trading days, achieving a total increase of 280% since December 17, 2025. On the downside, AI applications saw a decline, with internet, cultural media, and AI medical sectors leading the losses. Looking ahead, CITIC SEC believes that the adjustment of margin financing will not affect the overall upward trend of the market, but it may impact the market structure. Popular Sectors: 1. Electrical equipment stocks surged again, driven by national grid investments. 2. Tourism sector saw gains as the holiday season approaches. 3. Precious metals sector was active, with gold and silver prices hitting all-time highs. Analysis from institutions: 1. CITIC SEC: Margin financing adjustment will not affect market direction. 2. Guotai Haitong: Optimistic on rotation of themes, focusing on domestic semiconductor and power sectors. 3. Orient: Predicting Shanghai Composite Index to range between 4000-4200 before the Spring Festival.