Strong earnings reports from chip companies listed on the STAR Market, coupled with impressive results from U.S. tech giants like Google and Microsoft, collectively drove a significant rally in A-share semiconductor and chip industry chains. This surge propelled the STAR 50 and ChiNext indices higher.
On May 6, A-shares opened higher and extended gains in the morning session. The ChiNext Index saw a substantial increase of nearly 3%, while the STAR 50 Index soared over 7%. The semiconductor and chip industry chain experienced a major breakout, with strong gains in segments like memory and GPUs. In contrast, sectors such as baijiu (white liquor), petrochemicals, and coal underwent adjustments.
Hong Kong stocks also opened higher, with the Hang Seng Index and the Hang Seng Tech Index rising in early trading. The Hang Seng Tech Index gained nearly 1%, supported by a broad uptick in technology and internet stocks. The semiconductor sector led the charge, with HUA HONG SEMI surging over 8%. In the bond market, government bond futures collectively declined. Commodity futures in China were mostly higher.
**Core Market Movements as of Writing:**
**A-Shares:** The Shanghai Composite Index was up 0.70%, the Shenzhen Component Index had risen 1.82%, and the ChiNext Index had gained 2.62%.
**Hong Kong Stocks:** The Hang Seng Index was up 0.27%, and the Hang Seng Tech Index had increased by 0.65%.
**Bond Market:** For government bond futures, the 30-year main contract was down 0.52%, the 10-year main contract had fallen 0.10%, the 5-year main contract was down 0.08%, and the 2-year main contract had declined 0.03%.
**Commodities:** Domestic commodity futures were broadly higher. Lithium carbonate and Shanghai silver futures rose over 4%. Palladium, Shanghai tin, and platinum futures gained 3%. Propylene, coking coal, iron ore, Shanghai nickel, methanol, rubber, and coke futures advanced 2%. Glass, caustic soda, hot-rolled coil, Shanghai gold, stainless steel, Shanghai copper, rebar, industrial silicon, Shanghai aluminum, and pulp futures also moved higher. Only a few commodities, including polysilicon, soybean meal, fuel oil, alumina, and crude oil, registered declines.
**09:55** The ChiNext Index extended its gains to over 3%. Jiangbolong surged nearly 20%, while Beijing Junzheng and Runze Technology rose over 10%. Changshan Pharmaceutical and Guange Network advanced more than 9%.
**09:52** Hygon Information hit the 20% daily limit-up, reaching a new historical high. Its total market capitalization exceeded 820 billion yuan, with a year-to-date increase of nearly 60%.
**09:49** The STAR 50 Index surged over 7%. Heavyweight components including Hygon Information, Cambricon, Montage Technology, Biwin Storage, SMIC, HUA HONG SEMI, and AMEC all showed significant strength.
**09:41** GPU concept stocks experienced a breakout. Hygon Information surged over 17%, with its share price hitting a new record and its market cap surpassing 800 billion yuan. Cambricon rose over 9%, also setting a new high.
On the news front, Cambricon reported first-quarter revenue of 28.85 billion yuan (a year-on-year increase of 159.56%) and a net profit attributable to shareholders of 10.13 billion yuan (a year-on-year increase of 185.04%), with both figures reaching record highs. VeriSilicon also delivered strong performance, with first-quarter revenue surging 114.47% year-on-year. Revenue from its one-stop chip customization business skyrocketed 145.90%, while its mass production business recorded a remarkable increase exceeding 219%.
Concurrently, the four major U.S. tech giants—Google, Microsoft, Amazon, and Meta—recently released their Q1 2026 financial reports, showing equally impressive results. All four companies simultaneously increased their AI-related capital expenditure guidance. Market expectations project their combined AI capex for 2026 to reach $725 billion, a 77% increase from the $410 billion spent in 2025.
**09:30** The CSI All Share Semiconductors & Semiconductor Equipment Index opened 4.2% higher, also reaching a new historical peak.
**09:27** Wuliangye Yibin Co.,Ltd. opened 6.49% lower.
Regarding news, on April 30, Wuliangye Yibin Co.,Ltd. released its 2025 annual report and 2026 first-quarter report. The company reported a net profit of 8.954 billion yuan for 2025, representing a year-on-year decrease of 71.89%. For the first quarter of 2026, it achieved a net profit of 8.063 billion yuan, a year-on-year increase of 82.57%. Simultaneously, the company announced a plan to repurchase 8 to 10 billion yuan worth of its shares for capital reduction purposes.
**09:26** The Shanghai Composite Index opened 0.57% higher, and the ChiNext Index rose 2.27%. The semiconductor and computing hardware industry chain saw a breakout, led by memory and GPU segments. Battery and AI application concept stocks also strengthened. Oil & gas and coal sectors adjusted, while baijiu stocks trended lower, with Wuliangye Yibin Co.,Ltd. down over 6%.
**09:21** The Hang Seng Index opened 0.51% higher, and the Hang Seng Tech Index rose 0.85%. HUA HONG SEMI and SMIC gained over 4%, while Contemporary Amperex Technology Co. Limited rose nearly 4%.
**09:01** At the commodity futures open, Shanghai silver, platinum, and lithium carbonate main contracts rose over 3%. Cotton, Shanghai tin, and palladium futures gained over 2%. Crude oil, PVC, and fuel oil futures fell more than 2%.
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