On April 1, A-shares had a strong start to the second quarter of trading, with all major indexes posting gains. The Shanghai Composite Index rose by over 1%, the GEM Index by nearly 3%, and more than 4,600 stocks saw increases. Trading volume exceeded 1 trillion yuan for the day, indicating a significant uptick in market activity.
The Shanghai Composite Index closed at 3,077.38 points, up 1.19%, while the Shenzhen Component Index and the ChiNext Index both recorded gains of 2.62% and 2.97% respectively. The total market value of A-shares also saw an increase of 1.27 trillion yuan in a single day, reaching 84.80 trillion yuan by the market close.
Theme stocks performed well on the day, with sectors such as display panels, cobalt mines, and photovoltaic inverters leading the gains. Meanwhile, sectors like coal saw adjustments. The media, automobile, and power equipment industries were among the top gainers.
In terms of funds, the net inflow of northbound funds in March reached 21.985 billion yuan, with the A-share financing balance increasing by 55.524 billion yuan. On the first trading day of the second quarter, main funds saw a net inflow of 5.943 billion yuan, reflecting increased confidence in the market.
Looking ahead, analysts believe that the A-share market recovery is likely to continue. Qin Peijing, chief strategist of CITIC Securities, stated that strong policy guidance, financial report disclosures, and low interest rates will support a dividend strategy in the barbell structure in April. Li Qiusuo, chief analyst of domestic strategy at CICC Research Department, also expressed optimism, citing marginal improvements in economic data and ongoing capital market reforms.
Overall, market sentiment is positive, with expectations of a continued bullish trend and limited downside risks in the near term. Investors will be closely monitoring developments in the coming weeks to gauge the sustainability of the market’s recovery.