On January 16, A-shares opened higher across the board, with the three major stock indices initially rising in early trading before fluctuating and trending lower. The ChiNext Index turned negative after having gained 1% earlier. Sectors such as chips & semiconductors and power grid equipment were active, while the AI application sector continued to adjust. Hong Kong stocks also opened higher, with both the Hang Seng Index and the Hang Seng Tech Index rising in the morning session before subsequently turning negative. Non-ferrous metals and power equipment stocks saw gains. In the bond market, government bond futures collectively declined. In commodities, most domestic commodity futures moved higher, with polysilicon up 3% and platinum rising 3%.
A-shares: As of writing, the Shanghai Composite Index fell 0.16%, the Shenzhen Component Index declined 0.05%, and the ChiNext Index dropped 0.01%.
Hong Kong stocks: As of writing, the Hang Seng Index decreased 0.05%, and the Hang Seng Tech Index fell 0.16%.
Bond market: Government bond futures fell across the board. As of writing, the 30-year main contract dropped 0.35%, the 10-year main contract declined 0.08%, the 5-year main contract fell 0.03%, and the 2-year main contract remained flat.
Commodities: Domestic commodity futures main contracts were mixed. As of writing, platinum rose 3%, while polysilicon and glass increased 2%. Hot-rolled coil gained 1%, and industrial silicon, coke, rebar, stainless steel, palladium, Shanghai silver, coking coal, iron ore, rapeseed, rubber, and eggs all moved higher. Shanghai nickel, manganese silicon, lithium carbonate, Shanghai gold, Shanghai copper, Shanghai aluminum, alumina, and soybean meal declined. Asphalt, pulp, and Shanghai tin fell over 1%, the containerized freight index dropped 2%, and fuel oil decreased over 3%.
At 10:10, the three major indices collectively turned negative. The ChiNext Index had previously gained over 1%. Declines were led by AI applications, insurance, oil & gas, and pharmaceuticals & medical sectors. More than 3,000 stocks fell across the Shanghai, Shenzhen, and Beijing markets.
At 09:53, power stocks fluctuated with strength. Huadian Power International Corporation hit the limit-up, while Leshan Electric Power Co., Ltd. rose over 8%. Shaoneng Group Co., Ltd., Hengsheng Energy Co., Ltd., Jiuzhou Group Co., Ltd., Mingxing Electric Power Co., Ltd., Xichang Electric Power Co., Ltd., and others followed with gains.
At 09:45, chip stocks continued their early-session strength. Tianyue Advanced Materials surged over 12%, while Tongcheng New Materials Co., Ltd., Sanfu Co., Ltd., Liyang Chip Testing Co., Ltd., Hengkun New Materials Co., Ltd., and Jingce Electronic Technology Co., Ltd. all rose over 7%.
On the news front, TSMC projected its capital expenditure for 2026 to be between $52 billion and $56 billion, with total capital expenditure for 2025 reaching $40.9 billion.
At 09:35, most Vanke bonds advanced. "21 Vanke 04" and "22 Vanke 06" both surged over 20%, triggering intraday trading halts; "21 Vanke 06" rose over 11%, and "22 Vanke 04" increased over 9%.
At 09:31, the ChiNext Index surged over 1%, the Shanghai Composite Index gained 0.59%, and the Shenzhen Component Index rose 0.74%. Power grid equipment and semiconductor chips led the gains, with nearly 4,000 stocks advancing across the Shanghai, Shenzhen, and Beijing markets.
At 09:31, losses in government bond futures widened. The 30-year main contract fell 0.41%, the 10-year main contract declined 0.09%, the 5-year main contract dropped 0.04%, and the 2-year main contract decreased 0.01%.
At 09:30, the power grid equipment sector led gains at the open. Sanbian Technology Co., Ltd. hit its fourth consecutive limit-up, Baobian Electric Co., Ltd. achieved its second, while Pinggao Electric Co., Ltd., Xinlian Electronics Co., Ltd., and Siyuan Electric Co., Ltd. all reached limit-up. Shuangjie Electric Co., Ltd., Nari Technology Co., Ltd., China XD Electric Co., Ltd., and Ankang Intelligent Electric Co., Ltd. followed with increases.
On the news front, State Grid Corporation of China announced that during the "15th Five-Year Plan" period, its fixed asset investment is expected to reach 4 trillion yuan, a 40% increase compared to the "14th Five-Year Plan".
At 09:21, the Hang Seng Index opened 0.64% higher, and the Hang Seng Tech Index rose 0.94%.
Technology stocks generally advanced, with SenseTime and Alibaba each gaining over 2%. BYD Company Limited, Semiconductor Manufacturing International Corporation, Kuaishou Technology, and Hua Hong Semiconductor Limited also rose.
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