**Key Headlines** Hainan Free Trade Port Officially Launches Island-Wide Customs Closure The Hainan Free Trade Port commenced full-scale customs closure operations on December 18, 2025. Since the release of the "Overall Plan for the Construction of Hainan Free Trade Port" in 2020, Hainan has established a preliminary financial policy framework, becoming a leader in financial openness and innovation. The People's Bank of China has completed all financial preparations to support high-standard development.
From January to November 2025, cross-border fund flows in Hainan reached $101.6 billion, with an average annual growth rate of 55% since 2020. Cross-border RMB settlements expanded to 484.5 billion yuan, up 7.8% YoY.
**ETF Inflows Surge as "National Team" Steps In?** Amid recent market adjustments, funds are rapidly entering the market via ETFs. On December 17, multiple broad-based ETFs, including Huatai-PineBridge CSI A500 ETF (141.18 billion yuan turnover), hit record highs.
**A-Share IPO Bonanza: Muxi Shares Soars 693% on Debut** Muxi Shares, a domestic GPU leader, debuted on the STAR Market with a 692.95% surge, setting a new record for single-lot profits (up to 395,200 yuan). Quant hedge funds emerged as big winners, with investor Ge Weidong reportedly earning over 10 billion yuan.
**Vanke Proposes 3.7 Billion Yuan Medium-Term Note Extension** Vanke announced a plan to extend the maturity of its 3.7 billion yuan bond (22 Vanke MTN005) by 12 months to December 28, 2026, alongside enhanced credit measures.
**Mega Merger: CICC to Absorb Dongxing and Cinda Securities** CICC unveiled a merger plan with Dongxing and Cinda Securities, creating a financial giant with over 1 trillion yuan in assets. Trading resumes today.
**Precious Metals Rally: Silver, Platinum, and Palladium Hit Records** Shanghai silver futures surged 5%, while platinum and palladium contracts hit limit-up gains. Year-to-date, spot silver, platinum, and palladium rose 128%, 112%, and 80%, respectively, driven by supply tightness and macro expectations.
**"Deposit Migration" Potential Underestimated?** With declining deposit rates and rising equity market appeal, analysts project trillions in potential fund inflows. Over 60 trillion yuan in fixed deposits maturing post-2026 could redirect to capital markets.
**Gold’s Record Run: How to Anchor Long-Term Value** As gold prices scale historic peaks, "gold+" strategies gain traction among retail investors seeking stable allocations.
**Corporate Highlights** - **China Tourism Group Duty Free** expands duty-free offerings in Hainan, reporting strong sales for portable instruments and pet toys. - **Alibaba** reduced its stake in Huayi Brothers below 5%, exiting major shareholder status. - **CATL** deployed humanoid robot "Xiao Mo" for high-voltage battery testing, enhancing safety and efficiency. - **Oracle** shares halved amid AI bubble concerns, despite denying reports of a canceled $10 billion data center project.
**Sector Trends** - Lithium stocks rallied as carbonate demand surged; firms downplayed impact of Jiangxi mine closures. - Memory chip prices spiked, signaling consumer electronics price hikes.
**Market Strategy** Analysts argue the market underestimates the scale and speed of deposit shifts into equities. Morgan Stanley’s Wang Ying notes maturing 3%+ deposits may pivot to stocks, while Shenwan Hongyuan’s Zhao Wei highlights 9.4 trillion yuan in excess savings as potential fuel.
**Corporate Actions** - **CICC**, **Dongxing**, and **Cinda Securities** resume trading post-merger announcement. - **Wanlong Optoelectronics** plans to acquire Zhongkong Information for digital infrastructure expansion. - **Xiaorong Co.** sees control shift after a 9.25% stake sale. - **China Zhongye** unveiled a 10-20 billion yuan A-share buyback.
**Contracts & Deals** - **CRRC** secured 53.3 billion yuan in contracts, including 16.65 billion yuan for wind and energy storage equipment.
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