A-shares opened higher across the board on November 2, briefly pulled back, then oscillated upward, with gains narrowing after an intraday surge. All five major indices closed higher, led by the STAR 50. By the close, the Shanghai Composite rose 1.08% to 3,638.03 points, the Shenzhen Component Index gained 1.63% to 11,010.68 points, the ChiNext Index climbed 1.87% to 2,458.70 points, the STAR 50 surged 3.11% to 1,196.94 points, and the Beijing 50 rose 0.58% to 890.86 points.
Combined turnover on the Shanghai and Shenzhen exchanges reached 1.78369 trillion yuan, an increase of 109.222 billion yuan from the previous trading day. Across both markets, 4,681 stocks advanced, 818 declined, and 78 were flat, with 132 hitting the daily limit-up and 11 hitting the limit-down, meaning about 83% of stocks rose. By sector, digital media jumped 11.32%, film and cinema chains gained 10.02%, gaming II rose 8.28%, software development climbed 6.52%, television broadcasting II advanced 6.30%, and small household appliances added 6.30%. The biggest decliners were precious metals, down 3.10%, city commercial banks II, down 1.95%, coal mining, down 1.48%, coal, down 1.33%, and banking, down 0.84%. Among the Shenwan first-level industries, media rose 7.77% and computers gained 4.96%, while non-ferrous metals slipped 0.40%.
Driving factors
On November 2, the People's Bank of China and the China Securities Regulatory Commission convened a meeting with selected securities firms and fund companies to study ways to promote the use of tools supporting the capital market. On the same day, the PBOC, the National Financial Regulatory Administration, and the CSRC summoned major banks to discuss optimizing the relending policy for stock buybacks and increased holdings. CCTV Finance reported that about 10 Chinese companies have established overseas short drama platforms, and more than ten short drama apps going global have launched dedicated AI anime short drama channels. Active users of AI anime short dramas in overseas markets have exceeded 150 million in total, and Chinese companies occupy nine of the top ten paid overseas short drama applications.
The National Press and Publication Administration on October 29 released approval information for domestic online games in October 2026, with 195 online games approved that month, including 183 domestic online games and 12 imported online games. Kweichow Moutai Co.,Ltd. (ASX: 600519) disclosed its third-quarter report on the evening of October 30, showing third-quarter operating revenue of 40.267 billion yuan, up 3.08% year on year, and net profit attributable to shareholders of 19.951 billion yuan, up 3.78% year on year. Sinolink Securities' third-quarter report showed net profit attributable to shareholders of 2.006 billion yuan for the first three quarters, up 18.01% year on year. Bank of Shanghai disclosed its third-quarter report on the evening of October 30, posting third-quarter operating revenue of 11.768 billion yuan, down 14.71% year on year, and net profit attributable to shareholders of 350 million yuan, down 92.77% year on year.
Hot sectors
1. AI anime short dramas and media: digital media rose 11.32%, film and cinema chains gained 10.02%, gaming II climbed 8.28%, television broadcasting II advanced 6.30%, and the Shenwan first-level media industry rose 7.77%. Mango Excellent Media Co.,Ltd. (ASX: 300413), Hikan Shares, Huashi Technology, Guomai Culture, and Jiecheng Shares all hit the 20% limit-up, closing at 26.76 yuan, 23.16 yuan, 81.44 yuan, 39.19 yuan, and 5.64 yuan respectively. Alpha Group (ASX: 002292), Shanghai Film, Electronic Soul Network, Giant Network, and Longban Media also hit the limit-up, while Wentou Holdings opened at the limit-down price of 1.84 yuan and closed at the limit-up price of 2.24 yuan. On the news front, CCTV Finance reported that active users of overseas AI anime short dramas have surpassed 150 million and Chinese companies occupy nine of the top ten paid overseas short drama applications. A Huafu Securities research report dated October 22 argued that AI anime short dramas are taking over from live-action short dramas to become the industry's core incremental growth driver, with the supply side of video large models iterating along the main lines of cost reduction, capability, and efficiency.
2. Baijiu: baijiu II rose 3.07%. Swellfun, Huangtai Liquor, and Golden Seed Liquor hit the limit-up, closing at 28.12 yuan, 15.60 yuan, and 7.72 yuan respectively, with Huangtai Liquor notching its second consecutive trading day of limit-up. Kweichow Moutai Co.,Ltd. (ASX: 600519) gained 3.38% to 1,439.10 yuan, returning above the 1,400 yuan mark and reaching an intraday high of 1,447.00 yuan, the highest price since April 17, 2026. On the news front, Kweichow Moutai's third-quarter operating revenue was 40.267 billion yuan, up 3.08% year on year, and net profit attributable to shareholders was 19.951 billion yuan, up 3.78% year on year. According to Wind data, among the 19 listed baijiu companies that wrapped up their third-quarter reports, six posted year-on-year growth in third-quarter net profit attributable to shareholders, and ten recorded quarter-on-quarter growth.
3. Brokerages and financial IT: securities II rose 4.66%, and the securities IT concept surged 10.04%. Sinolink Securities and Pacific Securities hit the limit-up, closing at 8.45 yuan and 3.54 yuan respectively. Yinzhijie hit the 20% limit-up at 26.68 yuan. On the news front, on November 2, the People's Bank of China and the CSRC convened a meeting with selected securities firms and fund companies to study ways to promote the use of tools supporting the capital market. On the same day, the PBOC, the National Financial Regulatory Administration, and the CSRC summoned major banks to discuss optimizing the relending policy for stock buybacks and increased holdings. Sinolink Securities' third-quarter report showed net profit attributable to shareholders of 2.006 billion yuan for the first three quarters, up 18.01% year on year.
Sectors in retreat
Precious metals fell 3.10%, city commercial banks II dropped 1.95%, coal mining declined 1.48%, coal slipped 1.33%, and banking eased 0.84%, making them the biggest decliners among Shenwan second-level and first-level industries on the day. Among Shenwan first-level industries, non-ferrous metals fell 0.40%. On the individual stock front, Chifeng Gold dropped 5.85% to 31.04 yuan, and Shanjin International fell 6.42% to 20.26 yuan. Bank of Shanghai declined 8.81% to 8.49 yuan after its third-quarter report disclosed on the evening of October 30 showed third-quarter operating revenue of 11.768 billion yuan, down 14.71% year on year, and net profit attributable to shareholders of 350 million yuan, down 92.77% year on year.
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