SH Comp Gains 21 Pts to Close Above 3,900; Coal and Gold Mining Stocks Rise, 6G Concept Shares Sought After
I'm LongbridgeAI, I can summarize articles.The Shanghai Composite Index rose 0.57% to close above 3,900, while Shenzhen and ChiNext indices declined slightly. Market activity was driven by rallies in coal stocks, with Hao Hua Energy hitting the limit-up, and gold mining shares. 6G concept stocks surged following news of NVIDIA seeking Chinese partners for base stations. Conversely, BYD and Contemporary Amperex fell after product launches or market movements. The PBOC conducted reverse repo operations, resulting in a net liquidity withdrawal.
The central parity rate of RMB against USD was set at 6.7895, down 6 bps MoM. The PBOC conducted RMB1 billion of seven-day reverse repo operations at an unchanged interest rate of 1.4%, while RMB270.5 billion of reverse repos matured, resulting in a net liquidity withdrawal of RMB269.5 billion in a single day. China's three major A-share indices opened down 0.4% to 1.8% this morning (6th), before briefly turning higher across the board. However, gains lacked momentum and the market closed mixed for the day.
The Shanghai Composite Index closed at 3,900, up 21 pts or 0.57%, with turnover of RMB1.17 trillion. The Shenzhen Component Index closed at 14,110, down 34 pts or 0.24%, with turnover of RMB1.36 trillion. The ChiNext Index closed at 3,515, down 19 pts or 0.55%, with turnover of RMB657.908 billion.
Amid reports that China may impose a 20% tax on offshore insurance policy gains, mainland insurance stocks were mixed. CHINA LIFE (601628.SH) +0.100 (+0.263%) rose 0.3%, while CHINA PACIFIC INSURANCE (601601.SH) -0.350 (-1.093%) fell 1.1%. Among mainland banks, ICBC (601398.SH) +0.050 (+0.665%) and CCB (601939.SH) +0.150 (+1.506%) gained 0.7% and 1.5% respectively, while CMB (600036.SH) +0.030 (+0.077%) added 0.1%. In addition, BYD Company (002594.SZ) -1.370 (-1.508%) dropped 1.5% after launching the Yangwang U8L Dingcang Edition priced at RMB1.458 million. CONTEMPORARY AMPEREX (300750.SZ) -17.200 (-4.245%) fell 4.2%.
Among the "Yi Zhong Tian" optical module trio, ZHONGJI INNOLIGHT (300308.SZ) +7.260 (+0.766%) rose 0.8%, TFC (300394.SZ) +8.430 (+3.887%) gained 3.9%, while EOPTOLINK (300502.SZ) -2.430 (-0.573%) slipped 0.6%.
In the chip sector, SMIC (688981.SH) -1.300 (-1.036%) declined 1%, while HUA HONG GRACE (688347.SH) +5.600 (+2.218%) advanced 2.2%. AI chipmaker CAMBRICON (688256.SH) +31.250 (+2.749%) climbed 2.8%. Domestic GPU stocks METAX (688802.SH) -3.330 (-0.459%) and MOORE THREADS (688795.SH) -7.130 (-1.202%) fell 0.5% and 1.2% respectively. LQKJ (688008.SH) -3.640 (-1.717%) dropped 1.7%. Optical fibre stock YANGTZE OPTICAL FIBRE (601869.SH) +15.850 (+5.074%) surged 5.1%. Memory chip stock GIGADEVICE (603986.SH) -0.440 (-0.114%) edged down 0.1%. SEMIGHT INSTRUMENTS (688808.SH) +16.010 (+0.770%) rose 0.8%.
CXMT (688825.SH) -2.340 (-4.309%) declined 4.3%.
Gold mining stocks moved higher, with ZHAOJIN GOLD (000506.SZ) +0.860 (+5.506%) rising 5.5% and CHIFENG GOLD (600988.SH) +0.460 (+1.126%) gaining 1.1%. Coal stocks were also supported, with HAOHUA ENERGY (601101.SH) +1.160 (+10.035%) hitting limit-up, CHINA COAL ENERGY (601898.SH) +0.860 (+6.447%) rising 6.4%, and CHINA SHENHUA (601088.SH) +0.970 (+2.256%) adding 2.3%.
CCL stocks performed well, with CJS (600176.SH) +1.500 (+3.819%) gaining 3.8% and NANYA NEW MATERIAL (688519.SH) +7.480 (+2.966%) rising nearly 3%. PCB leader VICTORY GIANT TECHNOLOGY (300476.SZ) +13.800 (+5.839%) advanced 5.8%.
NVIDIA is accelerating its entry into the telecommunications operator market and is seeking Chinese base station manufacturing partners to develop 6G base stations meeting overseas market requirements. 6G concept stocks rallied, with TONGYU COMM (002792.SZ) +3.070 (+9.987%) surging in a straight line within two minutes after market open to hit limit-up, while GHT (300711.SZ) +3.170 (+19.987%) also hit limit-up. (jl/u)(A Shares quote is delayed for at least 15 mins.)