Pre-market highlights: Property policy news is dominating headlines, with a wave of supportive measures announced across multiple fronts. The impact is being felt across the sector. These include the China Securities Regulatory Commission supporting reasonable financing for real estate developers, the central bank extending maximum mortgage terms to 40 years, the National Financial Regulatory Administration issuing five management measures on real estate financing, and three departments jointly releasing a notice on improving the commercial housing sales system. Experts note this "package" represents a comprehensive institutional overhaul covering housing sales, credit management, and capital market financing, pushing the industry to move away from high-leverage, fast-turnover development models.
CXMT has officially commenced mass production of its LPDDR6 memory, marking a world first. Xiaomi's upcoming Fold 18 device, powered by its Xuanjie O3 chip, is the first to support this new memory. Xiaomi CEO Lei Jun congratulated the company on Weibo, calling the achievement remarkable. This milestone means a Chinese memory maker has broken the long-standing first-mover advantage held by overseas giants like Samsung and SK Hynix in high-end memory standards, achieving a global first in mass production.
Federal Reserve Chair Warsh's debut speech at Jackson Hole took a hawkish tone, suggesting potential rate hikes if inflation doesn't decline quickly and emphasizing the firm and fixed 2% inflation target. This reignited market expectations for a September rate increase, sending gold prices tumbling. Spot gold fell sharply following the speech, closing down 2.95%. Analysts suggest the $4,458 level could become a key battleground for bulls and bears; a break below this support could see prices target $4,320.
The 2026 interim reporting season has concluded. As of August 30th, 5,550 A-share companies had released their reports, generating combined revenue of RMB 37.68 trillion, a year-on-year increase of 7.63%. The STAR Market saw its attributable net profit surge by 438.45% year-on-year to RMB 144.88 billion. Electronics, Non-ferrous Metals, and Non-bank Financials led the profit growth rankings. In terms of total attributable net profit, ICBC, China Construction Bank, and Agricultural Bank of China took the top three spots.
On the investment calendar today, the official manufacturing PMI for August is scheduled for release.
Investment takeaway: Distinguishing whether a stock price rise is driven by corporate earnings or purely by psychological factors remains a challenging task. — Liaquat Ahamed, "Lords of Finance: The Bankers Who Broke the World"
Institutional viewpoints: Founder Securities suggests funds are rotating from high to low positions, with short-term focus on semiconductors, AI hardware, innovative drugs, and undervalued cyclical stocks. Zhongtai Securities notes that growth ETFs like the STAR 50 are receiving capital support during sharp dips, indicating a right-side bottom may be forming. Zheshang Securities believes the market may continue its current mid-level rebound through a pattern of range-bound trading with a gradually rising center of gravity.
Positive and negative catalysts ahead: A major development in a super track — China has achieved its first two-way high-speed laser communication between Earth and the Moon. CICC comments that inter-satellite laser links are becoming standard for large constellations. As satellite internet construction progresses, the laser communication industry is expected to accelerate, with investment opportunities in core component suppliers and downstream terminal manufacturers. Global high-end copper foil is experiencing a demand surge, with prices up 260%. Dongwu Securities notes that AI is driving both volume and price increases for high-end electronic copper foil. Overseas leaders are conservative in expanding capacity, leading to order spillover to China. The trends of extreme thinness and high-end applications are prevailing, with industry capacity utilization returning to full capacity and significant earnings elasticity expected for the sector in 2026. Climate and geopolitical shocks are impacting global agricultural products, with wheat and corn hitting three-year highs. Tianfeng Securities advises focusing on investment opportunities in four sub-sectors: seeds, planting and downstream, agricultural supplies, and water-saving technologies. Global weather and international trade uncertainties are accelerating the restructuring of global agricultural supply chains, highlighting the importance of national food security and potentially accelerating commercialized planting.
Company announcements: On the positive side, Moore Threads reported a net profit of RMB 612 million in H1 2026, turning around from a loss, with a significant increase in GPU shipments. Wazam New Materials saw its H1 net profit increase by 305% year-on-year, driven by higher CCL prices and sales volumes. Yifei Laser signed a contract worth approximately RMB 222 million for a lithium battery equipment assembly line. On the negative side, SEW's H1 net profit fell 20.79% year-on-year to RMB 31.17 million. Shanghai Hejing reported an H1 2026 net profit of RMB 26.74 million, down 55.22% year-on-year. Meinian Onehealth's semi-annual report shows that investor Zhang Jianping exited its top ten shareholders list, despite being the tenth-largest shareholder in the Q1 report.
Overseas markets: Wall Street turned cautious as the Fed reiterated its stance on fighting inflation, with rising expectations for future rate hikes leading to declines across all three major indices. The chip sector weakened, with Nvidia falling over 4%. Most large tech stocks rose, with Amazon gaining over 3% and Microsoft and Apple up nearly 2%. The Nasdaq Golden Dragon China Index rose 0.44%, with Alibaba up over 2%.