On January 19th, A-shares experienced a divergent and low-volume morning session, with the Shanghai Composite Index fluctuating around the 4,100-point mark. The half-day turnover reached 1.79 trillion yuan, shrinking by 198.5 billion yuan compared to the previous trading day. By the midday close, the Shanghai Composite Index had risen by 0.13%, the Shenzhen Component Index fell by 0.01%, and the ChiNext Index dropped by 0.64%. Guotai Haitong believes that the speculative frenzy around themes like commercial aerospace/GEO, which saw significant recent gains and sparked heated investor discussion, is returning to rationality. Trading regulations help guide the market towards stable and sustainable development, while the pace of theme rotation accelerates. They are optimistic about low-position tech sectors with strong demand support and intensive industrial catalysts, such as domestic computing power, new-type power grids, robotics, and domestic demand consumption. On the market front, a style shift was evident. Power grid equipment stocks surged again, with over 10 stocks hitting the daily limit-up, including Hanlan Co.,Ltd. and Senyuan Electric securing 2 consecutive limit-ups. The tourism sector advanced, with Jiuhua Mountain Tourism hitting the limit-up. The precious metals concept was active, with Sichuan Gold Mining rising over 9%. The commercial aerospace concept saw partial recovery, with Jiuding New Material and Yuexiu Capital both hitting the limit-up. The robotics concept rose, with Zhejiang Fenglong Electric resuming trading and hitting the limit-up, marking its 14th consecutive trading day of limit-ups. Since December 17, 2025, Zhejiang Fenglong Electric has accumulated a massive surge of 280%. On the downside, the AI application sector declined, with internet, cultural media, and AI healthcare sectors leading the losses. Regarding individual stocks, Haige Communication fell by the limit-down for 3 consecutive days, while Sunwave Communications, Visual China Group, and others also hit the limit-down. Additionally, large financials and semiconductors were among the sectors leading the declines. Looking ahead, CITIC Securities believes that the adjustment of margin requirements for financing does not affect the overall upward trend of the market but will impact its structure.
The first hot sector was power grid equipment stocks, which surged again. Over ten stocks, including NARI Technology Co., Ltd., XJ Electric Co., Ltd., China XD Electric Co., Ltd., Jiangsu Far East Cable Co., Ltd., and Dalian Electric Porcelain Co., Ltd., hit the daily limit-up. Commentary: A Huatai Securities research report stated that the State Grid's 4 trillion yuan investment is beneficial for power grid equipment suppliers. They are optimistic that power grid investment will maintain steady growth during the "16th Five-Year Plan" period, driven by accelerated construction of a nationally unified electricity market. The demand for cross-provincial power transmission channel construction and strengthening the weak grid in western China is clear, demand for UHV construction remains high, and investment in the main grid is expected to continue its rapid growth.
The second hot sector was tourism stocks, which trended higher. Jiuhua Mountain Tourism hit the limit-up, while Dalian Sunasia Tourism Holding Co.,Ltd, BTG Hotels (Group) Co., Ltd., Songcheng Performance Development Co., Ltd., Jinjiang Inn Company Limited, and Changbai Mountain Tourism followed with gains. Commentary: On the news front, as the winter vacation and the 2026 Spring Festival holiday approach, the tourism market continues to heat up. The latest data from Spring Tour shows that, so far, bookings for winter vacation and Spring Festival holiday travel have surpassed the same period last year. China International Capital Corporation (CICC) stated that the expansion of cultural and tourism policies is driving demand recovery and inflection points in volume and price, and they remain optimistic about comprehensive leaders with strong fundamentals and high-growth niche leaders.
The third hot sector was the precious metals concept, which performed actively. Sichuan Gold Mining rose over 9%, while Zhongjin Gold Co., Ltd., Shandong Gold International Co., Ltd., Chifeng Jilong Gold Mining Co., Ltd., Shengda Resources Co., Ltd., and CHJ Co., Ltd. followed with gains. Commentary: On the news front, international gold and silver prices both hit record highs on the 19th. The spot price of London gold once broke through $4,690 per ounce, and the spot price of silver once surpassed $94 per ounce. Dongfang Jincheng believes that while precious metals prices are hitting new highs, volatility has also increased significantly. Considering that the upward trend for precious metals may continue, the market is likely searching for a new, widely accepted trading range in the short term.
The first institutional view comes from CITIC Securities, which believes the adjustment of margin requirements for financing does not affect the overall upward trend of the market but will impact its structure. Speculation in thematic sectors has intensified, and the one-sided trend driven purely by narratives and capital relay has ended. As the annual report preview period begins, the weight of performance clues is rising again. The massive redemptions from ETFs are part of counter-cyclical adjustments and also provide a window for allocation-oriented funds to calmly "board the train." In terms of allocation, a good portfolio should offer a good experience, low resistance, and anti-anxiety properties; this is the advantage of building a portfolio based on the "revaluation of resources + traditional manufacturing pricing power" (chemicals, non-ferrous metals, power equipment, and new energy). On this basis, one can increase allocations to non-bank financials (securities, insurance) on dips, while also enhancing returns through some service consumption varieties (such as duty-free, airlines, etc.) or high-growth sectors (such as semiconductor equipment, etc.).
The second institutional view comes from Guotai Haitong, which believes that the pace of theme rotation is accelerating and recommends focusing on domestic semiconductors and power. Last week, the CSRC proposed to seriously investigate and punish illegal activities such as excessive speculation and even market manipulation, and to resolutely prevent sharp market fluctuations. The speculative frenzy around themes like commercial aerospace/GEO, which saw significant recent gains and sparked heated investor discussion, is returning to rationality. The accelerated iteration of domestic model products like Qianwen/Doubao is driving demand for domestic computing power, TSMC's capital expenditure guidance exceeded expectations, and the State Grid's increased investment for the "16th Five-Year Plan" period have become new catalysts. Trading regulations help guide the market towards stable and sustainable development. With theme rotation accelerating, they are optimistic about low-position tech sectors with strong demand support and intensive industrial catalysts, such as domestic computing power, new-type power grids, robotics, and domestic demand consumption.
The third institutional view comes from Orient Securities, which expects the Shanghai Composite Index to consolidate between 4000-4200 before the Spring Festival. Orient Securities believes that the policy combination of "policy regulation + market guidance + individual stock supervision" is aimed at curbing excessive speculation in certain sectors and stocks, guiding the market towards a "slow bull" trend,抑制过度投机, and avoiding the accumulation of leverage risks. In the short term, they expect the Shanghai Composite Index to consolidate within the 4000-4200 range before the Spring Festival, but this does not affect the performance of hot sectors and stocks.景气度和业绩 remain important criteria for stock selection, and sectors like AI computing, semiconductors, non-ferrous metals, and robotics are still worth watching.
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