A-share market midday report | A-share market sees a volume rebound, with the Shanghai Composite Index falling 1.02% below the 4200-point mark! Investors: Am I witnessing a bear market right after joining the market?

On May 14, the A-share market opened with a volatile adjustment, with the ChiNext Index falling by more than 2% during the morning session, and the Shanghai Composite Index and Shenzhen Component Index both falling by over 1%. By the midday close, the Shanghai Composite Index dropped by 1.02% to below the 4200-point mark, the Shenzhen Component Index fell by 1.60%, and the ChiNext Index dropped by 1.93%. The total turnover of the Shanghai and Shenzhen markets reached 2.27 trillion yuan in the morning session, an increase of 296.9 billion yuan from the previous trading day. Some investors expressed their frustration, saying: "What's going on? We were still in a bull market at the opening, how come I just arrived and it's already a 'bear market'?" In terms of the market, the chemical sector showed strength against the trend, with epoxy propane, fluorine chemical, Guangdong Redwall New Materials, Hongbaoli Group, etc., all hitting the limit up. Pork stocks rebounded after a shake, with Tech-bank Food and TianYu Bio-Technology hitting the limit up. The semiconductor industry chain was active again, with lithography machines, industrial gases, and silicon carbide concepts rising, with companies such as Crystal Growth & Energy Equipment Inc., Peric Special Gases, Hubei Heyuan Gas Co., Ltd. hitting the limit up or rising by more than 10%. Fiber optics and optical module concepts continued to rise, with companies like Suzhou K-Hiragawa Electronic Technology, Yangtze Optical Electronic, Jiangsu Zhongli Group hitting the limit up. The photovoltaic concept showed strength in the early trading session, with multiple stocks hitting the limit up. The computing power rental sector showed strength again, with Hunan Huasheng hitting the limit up. The shipping sector saw a rise in the midday session, with Nanjing Tanker Corporation hitting the limit up. The Siasun Robot & Automation concept was active again, with Greatoo Intelligent Equipment Inc. hitting the limit up. In addition, the gas and banking sectors also showed some performance. In terms of declines, the energy metal and minor metal sectors fluctuated downwards, with Jinzhou Yongshan Lithium falling by nearly 7%. The power grid equipment concept continued to weaken, with Henan Tong-Da Cable hitting the limit down, and multiple stocks such as China XD Electric, Beijing Sifang Automation, Guangdong Mingyang Electric falling by over 5%. The PCB concept declined, with Anhui Tongguan Copper Foil Group falling by more than 10%, and multiple stocks such as Victory Giant Technology, Jiangxi Redboard Technology falling by over 7%. The aerospace and commercial aerospace sectors fluctuated lower, with multiple stocks hitting the limit down. The cultural media stocks declined, with multiple stocks such as China Online, Citic Press Corporation, IReader Technology falling by over 5%. The lithium battery sector entered a correction phase, with Shandong Fengyuan Chemical reaching the limit down. In addition, the medical equipment, gas turbine, and software development sectors performed poorly. Looking ahead, CICC released a research report stating that from a medium-term perspective, they firmly believe in the A-share market continuing its upward trend in volatility. The overall valuation of the A-share market is still at a reasonable level. The reconstruction of the international order and the resonance of China's industrial innovation trend are the core drivers of this round of market rise and the revaluation of Chinese assets. The stabilizing trend in the A-share market since September 24 is expected to continue. Popular Sectors: 1. The chemical sector shows strength against the trend, with Guangdong Redwall New Materials, Hongbaoli Group Corporation, Ltd., and Zhejiang Yonghe Refrigerant hitting the limit up. 2. The pork concept shows strength after a shake, with Tech-bank Food hitting the limit up for 2 consecutive days and TianYu Bio-Technology hitting the limit up. 3. The power grid equipment concept faces setbacks, with Henan Tong-Da Cable hitting the limit down, and stocks like China XD Electric, Beijing Sifang Automation, Guangdong Mingyang Electric falling by over 5%. Institutional Views: CICC: Firmly optimistic about the A-share market continuing its upward trend in volatility, focusing on the growth of prosperity and cyclical improvement themes. China Securities Co., Ltd.: A-share market to see a structural slow bull market in the second half of the year. Guosheng: Rapid development of AI industry, broad development space for optical interconnection. CITIC SEC: A-share market's technology and petrochemical industries are expected to maintain high levels of prosperity. This article is reprinted from "Tencent Select Stocks", edited by Wang Qiujia.