Brokerage Morning Meeting Highlights | It is expected that the Federal Reserve will maintain its target interest rate unchanged throughout the year

Yesterday, the market fluctuated throughout the day, with the Shenzhen Component Index and the ChiNext Index both falling by more than 2%, and the Shanghai Composite Index falling below 4000 points. Looking at the sectors, semiconductor material stocks were all strong, AI application concepts were strong against the trend, and the consumer goods sector was partially active. On the downside, liquid-cooled servers and data center power sectors underwent a significant adjustment. At the close, the Shanghai Composite Index fell by 0.42%, the Shenzhen Component Index fell by 2.06%, and the ChiNext Index fell by 2.70%. At today's securities morning meeting, CITIC SEC stated that it is expected that the Federal Reserve will keep its target interest rate unchanged for the whole year; Huatai believes that AI server testing power may usher in opportunities for domestic alternatives; Galaxy Securities believes that deep coordination between AI application technology and scenarios is expected to open up long-term growth space for the media and internet industry. CITIC SEC: Expected that the Federal Reserve will keep its target interest rate unchanged for the whole year CITIC SEC pointed out that the US CPI in May roughly met expectations, with high oil prices continuing to drive overall inflation rate, while core inflation remained moderate. CITIC SEC believes that the risk of secondary inflation in the US is small, and the overall CPI year-on-year may have reached its peak in this round and will gradually decrease to September, with a slight rebound thereafter until a rapid decline in March next year. It is expected that the Federal Reserve will keep its target interest rate unchanged for the whole year, and there is room for downward adjustments in the rate hike expectations priced in the derivatives market. The focus of next week's Federal Reserve meeting will mainly be on the new chairman Powell's description of the current inflation situation and interest rate level. US bonds are currently more suitable for trading opportunities rather than allocation opportunities, short-term bonds are better than long-term bonds, the US dollar index has support, and the gold price may need to wait for loose expectations to restart before breaking out of the deadlock. Huatai: AI server testing power may usher in opportunities for domestic alternatives Huatai pointed out that the construction of AIDC promotes the accelerated upgrade of power supply architecture, and AI server testing power is expected to usher in development opportunities. With the continuous evolution of data center power supply architecture from UPS to HVDC and SST, it is driving the expansion of testing objects from single PSU to Power Shelf, BBU, and complete rack systems; at the same time, the power levels in the cabinets continue to increase, which is expected to drive the increase in both volume and price of testing power. Huatai is optimistic about domestic manufacturers achieving rapid growth in the context of industry expansion and technological upgrades through their accumulation of high-power technology and opportunities for domestic alternatives. Galaxy Securities: Deep coordination between AI application technology and scenarios is expected to open up long-term growth space for the media and internet industry The open-source wave triggered by domestic large models is expected to promote a positive cycle of technological innovation and application landing. The rapid growth in the number of word calls marks the rapid rise in AI demand, on this basis, AIGC promotes the industrial revolution of content production, solidifying the technological and industrial foundation for the landing of multiple downstream applications, and various emerging business models are being explored and improved. The deep coordination between technology and scenarios, ultimately landing on downstream applications, is expected to open up long-term growth space for the media and internet industry. This article is reproduced from "Finance Association", GMTEight editor: Li Fo.