Midday report: Shanghai Composite Index fell 1.19% in the morning session, with the gold and non-ferrous metal sectors collectively experiencing a pullback.

The three main indexes of A-shares fluctuated in the morning session. As of noon, the Shanghai Composite Index fell by 1.19%, the Shenzhen Component Index fell by 0.96%, the ChiNext Index rose by 0.8%, and the BeiZ50 Index rose by 0.18%. The total trading volume of the Shanghai, Shenzhen, and ChiNext markets in the morning session was 1.9514 trillion yuan, a decrease of 83.6 billion yuan compared to the previous day. Over 3800 stocks in the entire market fell. In terms of sector themes, the agriculture and forestry, grain, film and television, tourism and hotel, CPO, papermaking, and semiconductor sectors were active; while precious metals, non-ferrous metals, rare earth permanent magnets, photovoltaic equipment, oil and gas exploration and services, chemical industry, real estate, steel, and artificial intelligence concept stocks led the decline. During the trading session, international gold and silver prices fell in the Asia-Pacific session, causing gold stocks and non-ferrous resource stocks to plunge significantly, with several stocks, including Xiaocheng Technology, Zhongjin Gold, and Chifeng Gold, hitting the limit down. The real estate sector failed to continue its rally from the previous day, with Yingxin Development and Tefas Services leading the declines. In addition, sectors such as photovoltaics, chemicals, and steel also experienced declines. On the other hand, the rise in international grain prices catalyzed the strength of grain and agricultural stocks, with companies such as Denghai Seed and Dunhuang Seed hitting the price limit. Mining hardware stocks also rose during the session, with TF Technologies surging over 10% to hit a historical high. Previously, both Microsoft and Meta stated in their latest financial reports that the tight supply of AI computing power will continue until 2026.