On December 31, the A-share market concluded its 2025 trading year. At the close, the Shanghai Composite Index edged up 0.09%, marking an 11-day consecutive gain, and finished the year with an impressive 18.41% increase, reaching its highest level in a decade. The Shenzhen Component Index declined by 0.58% for the day but recorded a substantial 29.87% annual gain. The ChiNext Index fell 1.23% on the final day, yet it surged a remarkable 49.57% over the entire year. The STAR 50 Index advanced 35.92% in 2025, while the BSE 50 Index climbed 38.8%.
Throughout the year, market momentum was driven by a rotation across multiple sectors, including computing hardware, non-ferrous metals, banking, the battery industry chain, innovative pharmaceuticals, commercial aerospace, and robotics, which collectively propelled the Shanghai Composite Index to briefly breach the 4,000-point mark. According to data from Tonghuashun's Wencai platform, the top three best-performing individual stocks for the year were Shangwei New Materials, Tianpu Shares, and N Hengdongguang.
Looking ahead to 2026, institutional forecasts for the A-share market are broadly optimistic. A majority of analysts believe that several factors will likely bolster the market's performance, including the influx of incremental domestic and foreign capital, a recovery in corporate earnings, and enhanced policy support. These elements are expected to underpin a transition towards a "slow bull" market for A-shares in 2026.
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