The logic of the A-share market mid-term improvement remains unchanged and there is no need to be overly pessimistic about external disruptions.

Last week, the A-share market experienced significant volatility on two trading days. On Thursday, the Shanghai Composite Index returned to the 3900-point level for the first time in ten years; on Friday, major indexes underwent a high-level adjustment, with profit-taking occurring in sectors such as artificial intelligence and solid-state batteries. Subsequently, disturbances from overseas factors emerged again, with the three major U.S. stock indexes collectively declining last Friday, marking the largest single-day drop since April for the S&P 500 and NASDAQ. Looking back at the market in April this year, A-shares also experienced a significant adjustment due to external negative factors, but later regained lost ground and reached new highs in several years. The latest analysis from brokerage research reports indicates that the medium-term bullish logic for A-shares remains unchanged, with the market showing strong adaptability and learning effects, so investors do not need to be excessively pessimistic. The decline caused by external shocks may present a buying opportunity for Chinese assets, as institutions continue to be optimistic about the continuous development of the Chinese technology industry trend.