On December 26, the major indices opened lower but fluctuated upwards during the session. By the midday close, the Shanghai Composite Index had declined 0.19% to 3,952.09 points. The Shenzhen Component Index rose 0.17%, while the ChiNext Index fell 0.15%. The Beijing Stock Exchange 50 Index gained 0.08%, and the STAR 50 Index dropped 0.51%. The CSI A500 Index increased by 0.17%. The combined turnover for the A-share market reached 1.47 trillion yuan in the morning session.
Regarding liquidity, the central bank announced it conducted 93 billion yuan in 7-day reverse repo operations on December 26 using a fixed interest rate and quantity tender method, with an operation rate of 1.40%. The bid amount was 93 billion yuan, matching the awarded amount. Wind data shows that 56.2 billion yuan in reverse repos matured on the same day, resulting in a net injection of 36.8 billion yuan for the day.
On the news front, the National Development and Reform Commission stated that the National Venture Capital Guidance Fund will focus its investments on seed-stage, start-up, and early-to-mid-stage enterprises. The fund is set with a 20-year duration, comprising a 10-year investment period followed by a 10-year exit period.
The National Energy Administration reported that by the end of November, the nation's cumulative installed power generation capacity reached 3.79 billion kilowatts, a year-on-year increase of 17.1%. Specifically, solar power generation capacity hit 1.16 billion kilowatts, surging 41.9% year-on-year, while wind power capacity was 600 million kilowatts, up 22.4%. From January to November, the national power generation equipment accumulated an average utilization of 2,858 hours, a decrease of 289 hours compared to the same period last year.
The National Development and Reform Commission published an article titled "Vigorously Promoting the Optimization and Upgrading of Traditional Industries." It emphasized that for raw material industries like steel and petrochemicals, the key lies in balancing supply and demand while optimizing structure. The focus will be on critical industrial chain demands, supporting enterprises in accelerating technological innovation, promoting the R&D and industrialization of innovative products, swiftly addressing weaknesses, and propelling industries toward the mid-to-high end. Enhanced routine operational monitoring and scheduling will be implemented, leveraging early warning mechanisms effectively.
In terms of sectors, the lithium battery electrolyte index, lithium ore index, and lithium iron phosphate battery index led the gains. Conversely, the photolithography machine index, optical chip index, and liquid cooling server index were among the worst performers, showing significant declines.
Recently, the Natural Resources Bureau of Yichun City released a public notice "on the proposed announcement to cancel 27 mining rights." The cancellation of mining rights in Yichun is merely a surface phenomenon; the era of "scale expansion" may have become history. China's lithium resources are transitioning towards a new stage of high-quality development centered on "safety, greenness, and sustainability." The rising cost curve due to compliance requirements and the tight supply-demand balance are expected to jointly drive a revaluation of the lithium price center and resource asset values. Leading companies and high-quality resources with genuine compliance and cost advantages are poised to stand out in this round of revaluation.
Here, by integrating the latest research report information from over 10 brokerages including Tianfeng, Anxin, and Guoxin, brief introductions to four companies are provided for reference.
Hainan Mining is actively deploying in the lithium ore and lithium hydroxide production line sectors. It is entering the new energy track by investing in the construction of a 20,000-ton lithium hydroxide project and acquiring the Bougouni Lithium Mine in Africa. — Galaxy Securities
Yongxing Materials is a domestic leader in lepidolite with significant cost advantages, enabling it to maintain market share even during industry downturns. The company is actively promoting integrated expansion of mining, beneficiation, and smelting to enhance resource security capabilities. — Galaxy Securities
Tinci Materials, in addition to having multiple mass-produced ternary and lithium cobalt oxide cathode materials, has sent samples of new cathode materials like lithium-rich manganese-based and spinel lithium nickel manganese oxide to various customers and received qualified evaluations. Sulfide solid-state electrolytes have been sampled to leading companies with positive feedback, and mass production is currently being promoted. The solid-state battery business is expected to become a new future growth driver for the company. — Huatai Securities
Dazhong Mining's lithium ore business is gradually maturing, while its iron ore operations remain stable. With lithium prices showing marginal improvement driven by demand from energy storage and solid-state batteries, the company's profits are expected to grow steadily. — Zhongtai Securities
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