This week, major stock indices experienced a collective downturn, while equity and cross-border ETFs collectively recorded a net inflow of 159.96 billion yuan.
Sector-wise, satellite and chemical-related ETFs attracted significant capital, whereas ETFs tracking non-ferrous metals faced substantial outflows.
Over 100 billion yuan entered the market via ETFs during the week. Total trading volume across the Shanghai and Shenzhen exchanges reached 11.93 trillion yuan, with Shanghai accounting for 5.18 trillion yuan and Shenzhen 6.75 trillion yuan. At the latest close, the Shanghai Composite Index stood at 4065.58 points, down 1.27% for the week, while the Shenzhen Component Index closed at 13906.73 points, declining 2.11%.
Data from Wind indicates that equity and cross-border ETFs collectively saw a net inflow of 159.96 billion yuan. Broad-based index ETFs recorded a net outflow of 137 billion yuan, while cross-border ETFs attracted a net inflow of 216 billion yuan.
A detailed breakdown shows that the CSI 500 Index experienced a net outflow of 117 billion yuan, whereas the STAR and ChiNext board sectors saw net inflows.
Among specific ETFs, the ten largest broad-based index ETFs collectively recorded a net outflow of 142.48 billion yuan, with the CSI 500 ETF alone seeing an outflow of 107.94 billion yuan.
Some securities firms noted that short-term support for the stock market from policy, liquidity, and exchange rate factors remains intact. They suggested that the latter phase of the spring rally may initially proceed with volatile upward movement, while cautioning about potential periodic adjustments and profit-taking risks.
Satellite and chemical ETFs were particularly favored by investors. In the sector-themed ETF space, 66 funds saw weekly net inflows exceeding 100 million yuan. Satellite, chemical, and securities ETFs saw their units increase by 968 million, 1.505 billion, and 1.043 billion respectively, corresponding to net inflows of 1.829 billion yuan, 1.329 billion yuan, and 1.327 billion yuan.
Conversely, 36 sector-themed ETFs experienced net outflows of over 100 million yuan. ETFs focused on non-ferrous metals and gold stocks saw units decrease by 2.511 billion, 2.209 billion, and 1.21 billion respectively, resulting in net outflows of 5.46 billion yuan, 4.695 billion yuan, and 3.07 billion yuan.
Notably, the Satellite ETF (159206) and Chemical ETF (159870) have continued to attract strong investor interest, with their fund units reaching record highs since listing.
Analysts pointed out that during the 15th Five-Year Plan period, commercial aerospace is expected to become a key driver for enhancing productivity and technological advancement in China. To secure valuable orbital and spectrum resources, satellite launches for Chinese constellations are projected to accelerate significantly by 2026. Private commercial rocket companies are anticipated to play an increasing role, complementing national efforts and supporting high-frequency launch demands. Investment opportunities in China's satellite internet industry chain for 2026 are viewed favorably.
Regarding the chemical sector, analysis suggests that as a typical cyclical industry, it generally follows a five-year cycle comprising phases of profit growth, capacity expansion, profit bottoming, and capacity rationalization or demand recovery. With capital expenditure growth turning negative, anti-internal competition measures, potential overseas interest rate cuts, and domestic demand expansion, the chemical industry is poised for a recovery at the start of the 15th Five-Year Plan period. Currently at a cyclical low, improvements in supply-demand dynamics may accelerate a rebound in sector performance.
This week, 25 equity and cross-border ETFs each recorded weekly turnover exceeding 10 billion yuan. Among them, the A500 ETF Fund saw turnover surpass 70 billion yuan, hitting a historic high.
Some institutions commented that with the Spring Festival holiday approaching, the market may struggle to establish new sustained themes in the short term, with sector rotation likely remaining a key feature. Overall, the A-share market continues to exhibit a pattern of recovery intertwined with volatility.
Six ETFs are scheduled to list next week, tracking indices such as the Hong Kong Stock Connect Low Volatility High Dividend, non-ferrous metals, consumer electronics, and oil and gas sectors.
Additionally, five ETFs have been announced for post-holiday issuance, focusing on sectors including agriculture, livestock, and fisheries; the Hang Seng Biotechnology Index; and Hong Kong Stock Connect internet-related stocks.
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