A shares hit new high as markets surge
In today’s market, everyone seems to be making money as A-shares continued to rise, with the Shanghai Stock Exchange Index increasing nearly 1%. All three major indexes hit new highs for the year, with the Shanghai Stock Exchange Index rising by 0.99%, the Shenzhen Component Index by 1.46%, and the ChiNext Index by 2.25%.
A total of 4,588 stocks rose while 655 stocks fell in the market, with net purchases of northbound funds amounting to 2.8 billion yuan. Concept stocks related to flying cars saw explosive growth, with Zongheng Holdings, Shanggong Shenbei, and Wanfeng Aowei stocks hitting the limit. Additionally, stocks such as Guanglian Airlines and Golden Shield rose by more than 10%.
Artificial intelligence (AI) concept stocks also saw activity during the session, with companies in the AI mobile phones, AI PCs, and consumer electronics sectors strengthening. Rumors suggest that Apple is in talks with Google and OpenAI to enhance its generative AI capabilities.
The surge in AI concept stocks was driven by strong performance in computing power and CPO concept stocks, with companies like Xinyi Sheng, Tianfu Communications, and Zhongji InnoLight reaching record highs.
Pharmaceutical and medical stocks also rebounded collectively, with companies like Hongbo Pharmaceuticals and Dali Pharmaceuticals hitting their daily limit.
The surge in the market can be attributed to several factors, including the new policies issued by the China Securities Regulatory Commission on March 15, which aim to promote sustainable growth and prevent excessive financing.
Additionally, economic data from the first two months of the year exceeded analysts’ expectations, with retail sales, industrial production, and fixed asset investment all performing better than anticipated.
Analysts believe that the strong economic data from January to February, coupled with the supportive policies implemented since the end of last year, has set a positive momentum for the markets. The GDP growth rate for the first quarter is likely to surpass that of the same period last year, indicating a good start to the year.
Overall, market participants remain optimistic about the future outlook, with the macro policy tone expected to remain stable as industries like industrial manufacturing take center stage in stabilizing the economy.
(Source: China Fund News)