Market Interpretation June 10

1.【Today's News】:

1. CPI Data: May's overall CPI rose 4.2% year-on-year (in line with expectations), but the core CPI excluding food and energy only rose 0.2% month-on-month, lower than market expectations, making an interest rate hike unlikely for now;

2. Oracle earnings report, after market close today, the most important financial report this week. It will directly impact software stock trends and capital expenditure, which in turn will affect semiconductor trends;

3. SK Hynix plans to list in the US stock market as early as August;

4. Market: CPI data met expectations, the possibility of further significant adjustments has decreased. You can average down in batches when the market dips, buying back some of the shares previously sold for profit;

2. Institutional Research Reports

1. Indium Industry: China Post Securities, AI demand explosion, indium resources urgently need revaluation, maintain an 'Outperform' rating. Watch: Yunnan Chihong Zinc & Germanium, Yunnan Tin, Zhongjin Lingnan, Zhuzhou Smelting Group;

2. Dual-Carbon Industry: China Post Securities, policy support releases capacity, the entire industry chain welcomes a commercialization accelerator, maintain an 'Outperform' rating. Watch: Sungrow Power Supply, LONGi Green Energy Technology, Goldwind Science & Technology, Fujie Environmental Protection, Yihuatong, Refire Group, Sinoma Science & Technology, Guofu Hydrogen Energy, etc.

3.【This Week's Personal Trades】:

Week's Trade Review: Yesterday's only trade was opening a *** * test position, averaged down at 46/42/38; Microsoft automatically added a bit at the 400 limit order;

1. rddt: Opened position last week at cost 170; waiting for a pullback to average down; 160/150/140. Good earnings, fast growth, undervalued;

Added to watchlist: Broadcom (test bottom position already opened), Google, VST, GEV, VRT;

2. Power & Energy: Made GEV the top choice in power; ceg has pulled back, lowered averaging down prices to 240/220/200, not averaging down for now; secondary offering at price 281, short-term negative;

3. NVIDIA long-term hold; GTC conference exceeded expectations; still the top choice for 2026; average down on pullback, averaging down prices 190/180;

4. Oracle, continue holding, has become the largest position after rising. Position size exceeds NVIDIA; pulled back quite a bit these 2 days, reduce some ORCL position before June 10th; Oracle position is a bit too large;

5. Microsoft, continue holding, just started rising. Target prices 500/550/600 for long-term hold; added a bit yesterday, target around 5.5% position. Add a bit more around 400/380; added a bit to Microsoft last week; won't average down further unless it returns to around 380;

6. zs, net, ANET opened positions in May, hold and wait for rise, long-term hold; crm sold too early; NET continue holding, 32% floating profit, already disclosed to non-core circle; not suitable for heavy position, small cap stock, too volatile;

7. crwv started surging, these 2 days pulled back, average down at 99/95/90/85/80 and hold; limit order at 95

8. China Concepts: Vnet hold and wait for rise; gds wait to break even then close position, pdd cost 84 sold around 99, baba floating loss, wait to break even then close position, not playing China concepts anymore. Won't sync China concept trades going forward;

4.【Individual Stock Research】

【Computing Power Chip Related】:

NVIDIA: Top choice, position unchanged; plan to reduce position on highs before earnings; avoid earnings pullback; long-term hold is also fine;

【Computing Power Leasing, Token Factory】: June Focus

Cloud Services: snow, now, mdb, wait for pullback;

Nokia: Wait for pullback opportunity;

Cybersecurity: crwd, panw valuations too expensive; net, zs just hold and wait for rise;

【Second-Tier Semiconductors】: June Focus

High-Speed Data Connectivity:

anet\crdo\aaoi\alab: valuations generally too expensive, wait for pullback

【AI Infrastructure Related】: June Focus

CEG: Nuclear power leader, secondary listing short-term negative; VST: Natural gas, nuclear power concept; GEV: Power equipment leader; valuations not too expensive;

【Hong Kong Stocks & China Concepts】Won't participate in China concepts going forward
Tencent: Get in at 400/350/300, almost at 430, no chips, large model also average, on the decline, I personally won't participate

baba: 120/110/100, the only one with full-stack AI; high volatility, Alibaba Cloud is #1 in domestic cloud services; close position when it breaks even, holding experience too poor;

gds: Won't average down, close position after breaking even.

SMIC: Hong Kong stock. The only one I'd buy. Around 70/65/60/55/50, added to watchlist