Major A-share indices opened higher today. The oil and gas exploration sector led a wave of limit-up gains, while optical module concept stocks also performed strongly. In contrast, the media sector saw many stocks hit the跌停 limit-down.
On February 24, the A-share market started with strong gains: the Shanghai Composite Index opened 1.15% higher, the Shenzhen Component Index rose 1.52%, and the ChiNext Index gained 1.7%. Gains narrowed slightly during the session, but the Shenzhen Component Index still held an increase of over 1% at the time of writing, while the STAR Market Composite Index turned negative.
During the morning session, sectors like energy equipment, oil and gas, and precious metals strengthened. Concept stocks related to optical modules, optical communication, and fiberglass remained active. Media stocks fell sharply, while software, catering and tourism, and liquor sectors underperformed.
The oil and gas exploration index opened high and climbed further, rising nearly 8%. Among individual stocks, Tongyuan Petroleum and Xinjin Power surged by the 20% daily limit. Companies including COSCO Shipping Energy, Zhunyou Shares, China Merchants Energy Shipping, and Zhongman Petroleum were among more than ten stocks that hit the 10% limit-up.
The main container freight futures contract on the Shanghai Futures Exchange surged over 13% at the open. Recent escalation in US-Iran tensions, combined with a significant drop in US crude oil inventories, has strengthened supply tightness expectations. Risk premiums are pushing oil prices higher, keeping them near six-month highs. Repeated tariff disputes have also increased favor for safe-haven assets.
Optical module concept stocks continued their strong performance. Tianfu Communication and Shengke Communication rose over 10%, while Huagong Tech hit the limit-up. Lantech, Cambridge Technology, and Taichen Optics were among the top gainers. According to a recent post on the "China Optics Valley" WeChat account, Huagong Tech, a leading A-share optical module manufacturer, maintained production during the Spring Festival holiday. The company's optical module business head stated that orders are scheduled through the fourth quarter of 2026, with AI high-speed optical module production lines operating at full capacity 24/7.
The fiberglass sector maintained its pre-holiday momentum. Shandong Fiberglass, Honghe Technology, and Zaisheng Technology all hit the limit-up. Changhai Materials and China Jushi posted significant gains. Recent reports indicate that suppliers and industry insiders expect fiberglass manufacturers to initiate a second round of price hikes due to rising costs and tight supply. Planned monthly price increases of 10% to 15% could potentially double prices by year-end if implemented.
The media sector opened sharply lower. At the time of writing, Enlight Media fell by the 20% daily limit. Happiness Blue Sea and Chinese Online dropped over 10%. Companies including Bona Film, Hengdian Films, Zhangyue Technology, Jinyi Film, and China Film collectively hit the跌停 limit-down. This follows the conclusion of the 2026 Spring Festival box office, which generated total revenue of 57.52 billion yuan, falling short of market expectations.
Additionally, the duty-free shop sector experienced a short-term decline during the morning session, with China Tourism Group Duty Free hitting the跌停 limit-down.
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