A-share Pre-market Report | 1,028 Companies Disclose Q3 Reports, 176 Companies Post Net Profit Growth Exceeding 100% YoY

Pre-market Highlights 1. Nasdaq futures opened 0.6% higher; WTI crude fell 0.99% to $102.246 Type: Market | Sentiment impact: Neutral In early Asia-Pacific trading on Monday, US stock index futures strengthened. Dow Jones futures rose 0.34%, S&P 500 futures rose 0.48%, and Nasdaq 100 futures rose 0.66%. International oil prices weakened, with WTI crude futures down 0.99% at $102.246 per barrel. According to CME's "FedWatch," the probability that the Federal Reserve will keep rates unchanged this week is 90%, and the probability of a cumulative 25 basis point rate hike is 10%. 2. PBOC conducts RMB 700 billion medium-term lending facility operation today Type: Macro | Sentiment impact: Positive To maintain ample liquidity in the banking system, the People's Bank of China will conduct a RMB 700 billion medium-term lending facility (MLF) operation today with a 1-year tenor, using a fixed quantity, rate tender, and multiple-price allotment method. The MLF is a monetary policy tool through which the central bank provides medium-term base money and can be conducted through tender. This operation is RMB 700 billion in size with a 1-year tenor, and funds will be injected via tender. 3. The National Informatization "15th Five-Year Plan" is issued, proposing the timely launch of 6G commercialization Type: Macro | Sentiment impact: Positive The Central Cyberspace Affairs Commission issued the National Informatization "15th Five-Year Plan." The plan proposes that by 2030, a three-dimensional network system spanning land, sea, air, and space will be basically formed, a new-generation communications network will be fully built, sixth-generation mobile communications (6G) commercialization will be launched in due course, and the national blockchain network will be basically completed. The plan includes the completion of the new-generation communications network and 6G commercialization as 2030 goals. 4. 1,028 companies disclose Q3 reports; 176 companies post net profit growth exceeding 100% year-on-year Type: Industry | Sentiment impact: Positive Wind data shows that as of 18:00 on October 25, a total of 1,028 A-share listed companies had disclosed Q3 reports, of which 548 companies reported year-on-year growth in net profit attributable to shareholders of listed companies, accounting for about 53.31%. Among companies that have disclosed Q3 reports, 176 posted net profit growth exceeding 100% year-on-year. By industry, semiconductors, chemicals, fiberglass, batteries, electronic components, and other sectors showed clear earnings recovery. Investment Calendar October 26October 28: CPE 2026 International Computing Power & Electricity Expo Institutional Views 1. CITIC SEC: The AI trend pullback is not the start of a bear market; non-AI sectors may face a more favorable environment 2. SDIC Securities: The ChiNext Index has reached a bottoming area; late October to November may mark the second wave of AI technology this year 3. Huayuan Research: Fed rate hike expectations have risen, copper prices are under pressure at high levels, and LME copper fell 1.48% this week Positive/Negative Outlook 1. The Fed announces its rate decision at the October FOMC meeting Type: Policy focus China Merchants Strategy: High US Treasury yields and rising oil prices compress room for easing; high rates still constrain valuations; recommend maintaining a balanced allocation 2. US tech giants' earnings reports are released intensively Type: Market discussion CITIC SEC: The computing power industry is still growing but will return to rationality; liquidity "drainage" is picking up while net "injection" is narrowing; US stocks should be alert to correction risks 3. General-purpose models enter the Siasun Robot&Automation control segment Type: Institutional commentary CITIC SEC: Looking ahead to 2027, general-purpose models entering embodied task areas will become the next investment direction for the AI industry, with short-term division of labor and coordination with specialized models Announcement Briefs Positive announcements 1. Suzhou TFC Optical Communication: plans to repurchase RMB 100 million to RMB 150 million of shares for cancellation 2. Ningbo Ronbay New Energy Technology: plans to invest RMB 3.603 billion to build an integrated project in Xiangyang with annual output of 200,000 tons of sodium-ion cathode materials 3. Henan Yuneng Holdings: subsidiary plans to invest in and build the Puyang comprehensive energy project, with total dynamic investment of RMB 13.927 billion Negative announcements 1. Sanan Optoelectronics: actual controller Lin Xiucheng has been approved for arrest by the procuratorate 2. Shanghai Chinafortune: planning a change of controlling shareholder; shares suspended from October 26 3. Hunan Hualian China Industry: Q3 net profit RMB 39.0236 million, down 43.60% year-on-year Overseas Markets The three major US stock indices closed lower collectively last Friday, with the Dow down 1.24%, the Nasdaq down 0.21%, and the S&P 500 down 0.52%. CME data shows a 90% probability that the Fed will keep rates unchanged this week and a 10% probability of a 25 basis point hike; Goldman Sachs on the same day cut its 12-month Kospi target by 25% to 9,000 points, citing returns on AI infrastructure investment and rising financing costs. Most popular tech stocks fell, with Google down more than 1% and Amazon and Meta down nearly 1%; the memory sector rose, with SK Hynix up more than 4% and Micron Technology up more than 2%.