Stock index operations are in focus as the Shanghai Composite Index fell below 3,000 points, prompting experts to suggest going long on dips. The market saw a sharp dive in late trading on Wednesday, with the GEM index dropping nearly 3% and over 4,700 individual stocks falling. Despite this, banks and household appliances were among the few sectors that saw gains.
Market analysts from Soochow Futures believe that the recent weak and volatile trend in the market is likely to continue in the short term. The mainline AI sector has been adjusting, affecting overall market sentiment. However, experts also noted that with improving liquidity and stabilizing economic expectations since the start of the year, the market’s downward trend is expected to be limited, and a unilateral downward trend is unlikely.
In other market news, the central bank conducted a 250 billion yuan 7-day reverse repurchase operation, resulting in a net investment of 247 billion yuan. The Ministry of Industry and Information Technology, along with three other departments, announced plans for the innovative application of general aviation equipment by 2030, aiming to drive low-altitude economic growth and form a trillion-level market size.
Meanwhile, U.S. stocks closed higher on Wednesday, with the Dow rising over 470 points and the S&P 500 reaching a new record high. However, NVIDIA continued its adjustment, falling over 2% for the second consecutive day. The Federal Reserve Governor Waller hinted at a possible interest rate cut later in the year, citing data that shows the need to ease policy.
Amidst all this, it was clarified that the recent ETF option exercise and delivery will not significantly impact spot prices, with experts suggesting not attributing market declines solely to option activity. Investors are advised to carefully assess the market situation and exercise caution in their investment decisions.