The three major A-share indices of Shanghai and Shenzhen rose by 0.4% to 0.6% in the first half of the day, with retail stocks continuing to strengthen, while Vanke fell by more than 5%

The central parity rate of the RMB against the US dollar was raised by 17 points to 7.0779 per US dollar, reaching a new high since October 14, 2024. The People's Bank of China today (27th) conducted a seven-day reverse repurchase operation of 356.4 billion RMB in the open market, with the operation rate remaining at 1.4%. Today, 300 billion RMB of reverse repos are maturing, resulting in a net injection of 56.4 billion RMB for the day.

The three major A-share indices rose steadily in the morning session. The Shanghai Composite Index closed at 3,883 points, up 18 points or 0.5%, with a turnover of 447.1 billion RMB; the Shenzhen Component Index closed at 12,956 points, up 49 points or 0.4%, with a turnover of 641.5 billion RMB; the ChiNext Index closed at 3,061 points, up 17 points or 0.6%, with a turnover of 315.8 billion RMB.

Domestic bank stocks, Industrial and Commercial Bank of China (601398.SH) and China Construction Bank (601939.SH), each rose slightly by 0.1%. In addition, CATL (300750.SZ) fell by 0.3%. BYD (002594.SZ) also fell by 0.4%.

Vanke will hold a bondholders' meeting on the 10th of next month to review the bond extension matters, and Vanke A (000002.SZ) fell by 5.4%. Other domestic property stocks also weakened, with Suzhou Gaoxin (600736.SH), China Vanke (002285.SZ), and Gemdale Corporation (600383.SH) falling between 1.4% and 3.6%.

Retail stocks continued to perform strongly, with MAOYE COMMERCIAL (600828.SH) hitting the daily limit for three consecutive days. Guangbai Co., Ltd. (002187.SZ) hit the daily limit for two consecutive days. Dongbai Group (600693.SH) rose by 5.9%.

Leading chip stocks were favored, with SMIC (688981.SH) and Hua Hong Semiconductor (688347.SH) rising by 1.3% and 0.7%, respectively. Technology stock Cambricon (688256.SH) rose another 2%. Industrial Fulian (601138.SH) rose by 4.6%, significantly raising its repurchase price limit.

Computing hardware stocks were speculated again, with Dekor (688205.SH) and Guangku Technology (300620.SZ) rising by 3.3% and 6.2%, respectively