A-share Opening Express: Three major indexes collectively opened lower, with semiconductor, storage chip, and precious metal sectors leading the decline.

On July 13, the three major A-share indexes opened collectively lower, with the Shanghai Composite Index falling by 0.75% and the ChiNext Index falling by 0.86%. On the market, the oil and gas and traditional Chinese medicine sectors were active, while the semiconductor, storage chip, and precious metals sectors saw the biggest declines. Institutional Views on the Future Market EB SECURITIES: The market may consolidate, focusing on three main thematic lines represented by hard technology EB SECURITIES believes that the second-quarter Producer Price Index (PPI) has significantly increased compared to the first quarter, and listed companies' profits are expected to further rise, providing fundamental support for the market. However, domestic demand still remains weak, with traditional sectors such as consumption and real estate continuing to face pressure. In addition, the technology sector, which has seen significant gains in the previous period, will soon face the test of performance realization, potentially leading to increased stock price volatility. In conclusion, with the coexistence of profit support and structural pressure, the short-term market is likely to maintain a range-bound pattern. In terms of allocation, focus on three main thematic lines represented by hard technology. In the medium to long term, high prosperity is still the core of the configuration, but EB SECURITIES believes this is not limited to just the technology sector. Besides technology, sectors such as export chains and resource products are expected to improve fundamentally, making them worth paying attention to in the future. Specifically, focus on industries such as electronics, communications, and national defense in the hard technology sector; electrical equipment and machinery in the export chain sector; and non-ferrous metals, coal, petroleum, basic chemicals, and other industries in the upstream resource products sector. Galaxy Securities: Anchor with performance and seize structural opportunities in volatility Galaxy Securities believes that in the short term, the market is likely to continue its range-bound pattern, with structural features remaining the main theme. July 15 is the deadline for mandatory disclosure of semi-annual forecasts for A-share listed companies, shifting the focus of market core games towards fundamental verification and prioritizing the layout of segmented leading companies with real orders and profit expectations. Furthermore, SK Hynix's listing on NASDAQ and the progress of Changxin Technology's IPO process have strengthened the logic of prosperity in the storage chip industry, leading to continued attention on the storage chip, advanced packaging, and semiconductor material industries. With valuation digestion in the previous period, related racecourse layouts are further showing. In terms of overall strategy, it is recommended to anchor with performance and seize structural opportunities in volatility. In terms of allocation, recommend a balanced layout of "technology rotation + defensive configuration". Firstly, focus on industries such as semiconductors and the industry chain (storage chips, semiconductor equipment and materials, advanced packaging, including electronic special gases/helium), components, communication equipment, energy storage/power supporting, humanoid Siasun Robot&Automation, commercial aerospace, etc. Secondly, focus on industries such as basic chemicals, non-ferrous metals, building materials, and steel. Thirdly, focus on industries such as coal, coal chemicals, finance, utilities, and new energy. Industrial: No need to worry excessively, the momentum of a new uptrend is accumulating and brewing in volatility Industrial believes that at this current point in time, combined with recent changes, there are positive signals accumulating behind the big fluctuations. Firstly, for the overall market, the crowding index we track has once again signaled a short-term sentiment bottom. Secondly, for the core of this round of adjustments - the AI industry narrative, through the recent progress and performance verification of leaders in the industry, previous concerns have been to some extent rectified and reversed. AI computing power hardware undoubtedly remains the market's biggest consensus. Although the market has been biased towards rotation and speculation recently, the reason lies in funds waiting for clearer signals on the right side during rotation and volatility. As global computing power prosperity and the sustainability of AI hardware manufacturers' performance become clearer, it will help reduce market volatility, choose direction, and structure. Before these key validations arrive, the market may continue to rally around some domestic prosperity clues. This article is reproduced from "Tencent Stocks". Editor: Xu Wenqiang.