A-share Pre-market Briefing | Dow Rises 1.02%, Data Group Established, Intelligent Computing Power Up 146%

Pre-market Briefing 1. The three major U.S. stock indices closed mixed, with the Dow up 1.02%; biopharmaceutical and weight-loss drug stocks led gains Type: Market | Sentiment impact: Neutral The Dow rose 1.02% to 52,495.88 points, the Nasdaq fell 0.02% to 26,424.82 points, and the S&P 500 rose 0.29% to 7,712.57 points. Most large-cap technology stocks declined, with Apple, Google, and Meta down more than 1%, SK Hynix down more than 2%, and Tesla up more than 1%. The biopharmaceutical and weight-loss drug sectors posted the largest gains, with Eli Lilly and Amgen up more than 3%, AstraZeneca up nearly 3%, and Novo Nordisk and Pfizer up more than 2%. Semiconductor equipment and materials and oil and gas sectors declined, with KLA down more than 2%, Applied Materials down nearly 2%, and ASML down nearly 1%. The Livermore China Concept Stock Leaders Index closed up 0.59%. 2. SASAC establishes National Data Group Co., Ltd., with SASAC performing investor responsibilities Type: Macro | Sentiment impact: Positive With the approval of the State Council, National Data Group Co., Ltd. has been established, with the State-owned Assets Supervision and Administration Commission of the State Council performing investor responsibilities on behalf of the State Council, and the company has been included in the list of enterprises for which the State Council SASAC performs investor responsibilities. The group was officially inaugurated on October 20. According to its positioning, the company will lead data technology, prosper the data industry, serve artificial intelligence, and build a digital China. 3. Intelligent computing power reaches 2,592 EFLOPS, up 146% year on year; MIIT will accelerate the expansion and upgrading of computing facilities Type: Industry | Sentiment impact: Positive Xie Cun, director of the Information and Communications Administration Bureau of the Ministry of Industry and Information Technology, said at a State Council Information Office press conference that as of the end of September 2026, China's intelligent computing power reached 2,592 EFLOPS, up 146% year on year. Next, MIIT will plan and implement a batch of major engineering projects that are strategic, guiding, and breakthrough-oriented, accelerate the expansion and upgrading of computing facilities; make forward-looking arrangements for 6G technology innovation and deepen innovation in 5G industrial internet applications; support more eligible enterprises in applying for commercial trials of satellite Internet of Things services, and study in due course further expansion of value-added telecommunications services opening pilots. 4. Tianqi Lithium Corporation expects net profit of RMB 5.1 billion to RMB 6 billion for the first three quarters, up 2,734.97% to 3,235.26% year on year Type: Company | Sentiment impact: Positive Tianqi Lithium Corporation released its earnings forecast for the first three quarters of 2026, expecting net profit attributable to shareholders of the listed company of RMB 5.1 billion to RMB 6 billion, compared with RMB 180 million in the same period last year; net profit after deducting non-recurring gains and losses of RMB 5.03 billion to RMB 5.93 billion, compared with RMB 71.2758 million in the same period last year. The company said that operating revenue in the reporting period rose sharply year on year, mainly because the average selling price of its main lithium products increased significantly year on year. This earnings forecast has not been pre-audited by certified public accountants. Investment Calendar October 21: NVIDIA CEO Jensen Huang delivers a speech at NVIDIA GTC Berlin Institutional Views 1. Huafu Securities: Coal supply elasticity is limited, rising costs support the bottom of coal prices, and coal prices are in a new round of upward cycle. 2. SDIC Securities: Industry investment and sales are still bottoming out, but housing prices have continued to improve marginally, and the market is accumulating momentum for stabilization. 3. Zhongtai: AI film projects are accelerating, and we are optimistic about positive changes in content supply from the year-end to the New Year and Spring Festival film seasons. Positive and Negative Outlook 1. Today, RMB 56 billion of 7-day reverse repos will mature Type: Policy Focus Guotai Haitong: The Financial Street Holdings forum made clear that the policy rate will opportunistically switch its anchor to the overnight repo rate, and established a liquidity tool for large non-bank redemptions and expanded the scope of institutions eligible for SLF to domestic and foreign-funded legal-person banks. 2. NVIDIA GTC Berlin conference is held, Jensen Huang delivers a keynote speech Type: Market Discussion CITIC SEC: 26Q4 is expected to be a key time point for enterprise-level implementation of overseas models. After October, Anthropic ARR is expected to resume its upward trend, repairing pessimistic expectations for the AI sector. 3. The 93rd National Pharmaceutical Trade Fair will be held in Beijing from October 21 to 23 Type: Institutional Commentary Sinolink: Cutting-edge innovative drug technologies are accelerating iteration. IO2.0, ADC iteration, and autoimmune long-acting bispecific antibodies are reshaping the treatment landscape, and the internationalization of China's original research assets is entering a harvest period. Announcement Briefs Positive Announcements 1. Avary Holding: Plans to repurchase RMB 300 million to RMB 500 million, with a repurchase price cap of RMB 80 per share 2. QiaoYin City Management: Pre-won the bid for the rural sanitation integration project in Anxin County, Hebei, with an amount of RMB 77.31 million and an operating period of 3 years 3. Montage Technology: Expects third-quarter net profit of RMB 1.2 billion to RMB 1.3 billion, up 153.6% to 174.7% year on year Negative Announcements 1. Changzhou Tiansheng New Materials Group: Terminates the 2026 private placement to specific targets, and the change of controlling shareholder and actual controller is terminated simultaneously 2. Guangdong Golden Dragon Development Inc.: Terminates the purchase of a 29.3151% stake in Shenzhen Benmao Technology 3. Shanghai Supezet Engineering Technology Corp., Ltd.: Market value at close on October 20 was RMB 192 million, below RMB 300 million for 14 consecutive trading days, posing a risk of delisting Overseas Markets The three major U.S. stock indices closed mixed, with the Dow up 1.02% to 52,495.88 points, the Nasdaq down 0.02% to 26,424.82 points, and the S&P 500 up 0.29% to 7,712.57 points. International oil prices surged and then pulled back during the session, and the oil and gas and semiconductor equipment sectors declined accordingly, with KLA down more than 2%; the biopharmaceutical and weight-loss drug sectors led gains, with Eli Lilly and Amgen up more than 3%. Most large-cap technology stocks declined, with Apple, Google, and Meta down more than 1%. The Livermore China Concept Stock Leaders Index closed up 0.59%, with XPeng Group up more than 7% and Li Auto up more than 5%.