The three major A-share indices of Shanghai and Shenzhen fell by 1% to 1.9% in the first half of the day, with oil and gold stocks showing weakness, while domestic bank stocks rose against the trend

The People's Bank of China today (5th) conducted a 118.5 billion yuan (the same below) seven-day reverse repurchase operation, with the operation rate remaining at 1.4%. Additionally, it carried out a 300 billion yuan 14-day reverse repurchase operation. Today, 354 billion yuan of reverse repos are maturing, resulting in a net injection of 64.5 billion yuan. The central parity rate of the yuan against the US dollar was lowered by 37 points to 6.9570 per US dollar.

The three major A-share indices opened down 0.7% to 1%, and the decline later expanded, closing down 1% to 1.9% at noon. The Shanghai Composite Index fell 42 points or 1%, closing at 4,059 points, with a turnover of 619.8 billion yuan. The Shenzhen Component Index dropped 255 points or 1.8%, closing at 13,900 points, with a turnover of 827.6 billion yuan. The ChiNext Index fell 64 points or 1.9%, closing at 3,247 points, with a turnover of 372.9 billion yuan.

Banking stocks such as Industrial and Commercial Bank of China (601398.SH) and China Construction Bank (601939.SH) rose by 0.7% and 1.2%, respectively. In addition, CATL (300750.SZ) fell by 1.9%. Reports indicate that BYD (002594.SZ) saw its electric vehicle sales in Germany increase more than tenfold year-on-year last month, with its stock price rising nearly 1%.

Oil and gold stocks declined. Among the three major oil companies, CNOOC (600938.SH), PetroChina (601857.SH), and Sinopec (600028.SH) each fell by 1.1% to 1.7%. Gold-related stocks Shandong Gold (600547.SH), Chifeng Jilong Gold Mining (600988.SH), and Zhaojin Mining (000506.SZ) each fell by 5.3% to 6.8%.

Chip-related stocks were under pressure, with SMIC (688981.SH) and Hua Hong Semiconductor (688347.SH) falling by 3.2% and 3.4%, respectively. AI chip stock Cambricon (688256.SH) fell by 1.6%. Domestic GPU stocks such as Muxi Co., Ltd. (688802.SH) and Moore Threads (688795.SH) fell by 2.5% and 1.8%, respectively.

It is rumored that Elon Musk's SpaceX and other teams recently visited several photovoltaic companies in China. However, JinkoSolar (688223.SH) clarified that it has not engaged in any cooperation with Musk's team and has not signed any framework or formal agreements, resulting in a 5.6% drop in its stock price. Other photovoltaic industry chain stocks developed individually, with Shichuang Energy (688429.SH) falling by 8.6%, while Zerun New Energy (301636.SZ) rose by 9.9%