On September 11, the A-share market opened lower and continued its decline amid multiple external pressures, including surging oil prices above $100, a global wave of interest rate hikes, and sharp drops in Japanese and Korean markets. The afternoon session saw a rebound from session lows, significantly narrowing the losses. Total turnover reached 1.99 trillion yuan, a substantial increase of 324.6 billion yuan from the previous trading day. More than 4,800 stocks across the market fell, with the profit-taking effect hovering around just 11%.
The most defining characteristic of today's session was a "sell-off on heavy volume followed by a rebound from the lows." While some capital did step in to provide support at lower levels, the overall wealth-destruction effect remained significant. Investors are now awaiting the direction-setting outcome of the Federal Reserve's monetary policy meeting.
Key Variable One: Sell-off on Heavy Volume, then Rebound - Support Emerges After Panic Selling Clears
Turnover hit 1.99 trillion yuan, up 324.6 billion yuan from the prior day. The Shanghai Composite Index touched a session low of 3,852.03 points before closing at 3,888.11 points, recovering nearly 36 points in the final stretch. The heavy-volume decline indicates a concentrated wave of panic selling, but also suggests growing buying interest at these lower levels.
Key Variable Two: Non-Ferrous Metals Collapse - Industrial Metals Plunge Over 5%
The industrial metals sector closed down 5.04%, with Northern Copper hitting its daily limit down. The lead-zinc segment fell 4.83%, and the silver segment dropped 4.69%. Meanwhile, the main lithium carbonate futures contract briefly fell nearly 10% during the session, breaking below 130,000 yuan per tonne, dragging lithium miners and non-ferrous stocks down with it. The inflation fears stemming from oil prices breaking $100 are putting persistent pressure on resource sector valuations.
Key Variable Three: Defense Sector Rallies Against the Trend - Ground Armaments Lead with 4.44% Gain
The ground armaments sub-sector gained 4.44%, leading the entire market. Guangdian Co., Ltd., Inner Mongolia First Machinery, and Galaxy Electronics all hit their daily limit up. The catalyst came from a research report by China Securities highlighting that public fund holdings in defense stocks rose from a low of 3.25% in Q4 2025 to 3.77%, reflecting marginal improvement. Expectations around new-quality combat capability building in the early stage of the 15th Five-Year Plan and the expansion of global military trade also provided support.
Key Variable Four: Components/PCB Sector Sees Nearly 4 Billion Yuan in Net Main Capital Inflow - AI Hardware Serves as a Safe Haven Within Tech
The components sector rose 3.11%, and communication equipment edged up 0.42%. Catalysts included the Ministry of Industry and Information Technology's release of an action plan for "AI + Software," as well as KB Group's seventh price increase notice this year and China Jushi's announcement of a 15%-20% price hike for electronic fiberglass cloth, extending the trend of rising material costs.
Key Variable Five: Japanese and Korean Markets Tumble - Oil Price Surge Hits Asia-Pacific Tech Stocks
The Nikkei 225 fell 1.93%, and South Korea's KOSPI dropped 1.76%. Samsung Electronics closed down 3.53%, while SK Hynix fell 2.21%. Crude oil prices breaking above $100 have fueled inflation expectations, pushing global risk-free rates higher and exerting sustained pressure on high-valuation tech and growth stocks.
Today's Market Review
According to state media reports, Yemen's Houthi Supreme Political Council issued a statement on the 11th saying that fighting along the western coast of the Red Sea has ceased, claiming that "Saudi forces previously deployed to threaten relevant Yemeni areas have been expelled." International oil prices moved lower, with Brent crude falling more than 2.0% during the day to $104.70 per barrel. US stock index futures ticked higher, with Nasdaq futures turning positive intraday, up 0.2%.
Domestic commodity futures saw the energy and chemical complex experience a sharp pullback. Crude oil narrowed its gains to 4% after rising nearly 9% earlier, fuel oil trimmed gains to 3%, ethylene glycol fell 5%, methanol dropped over 4%, styrene declined more than 3%, and LPG fell over 2%. Meanwhile, spot gold rose to $4,346.93 per ounce, up 1% during the day.
All three major indices opened lower and fell more than 2% during the session, with losses narrowing in the afternoon. Trading volume expanded significantly, with combined Shanghai and Shenzhen turnover reaching 1.99 trillion yuan, up 324.6 billion yuan from the previous session. Over 4,800 stocks fell across the market.
On the sector front, AI hardware showed signs of warming up, with various sub-segments rotating actively. In the PCB space, Success Electronics notched its third limit-up in five days, while Chongda Technology, Junya Technology, Jiali Innovation, and Bomin Electronics all hit their daily limit up. MLCC concepts rallied again intraday, with Fenghua Advanced Technology and Shuangxing New Materials hitting limit-up, and Yunzhong Technology surging over 18%. The power sector was active against the trend, with Mindong Electric Power achieving three consecutive limit-ups, and Hangzhou Thermal Power and Jiangsu New Energy hitting limit-up. On the defense front, Inner Mongolia First Machinery and Galaxy Electronics also recorded limit-ups.
On the downside, copper and precious metals led the non-ferrous sector lower, with Northern Copper hitting its daily limit down. The internet finance sector experienced a sharp pullback, with Cuiwei Shares hitting limit-down.
Hong Kong stocks closed lower today, with the Hang Seng Index settling at 24,805.63 points, down 148.84 points, or 0.6%. The Hang Seng Tech Index closed at 4,320.57 points, down 9.92 points, or 0.23%. Among Hang Seng Index constituents, Orient Overseas International, Galaxy Entertainment, and Shenzhou International led gains, while Luoyang Molybdenum, Sun Hung Kai Properties, and Zijin Mining were the top losers. Within the Hang Seng Tech Index, Xiaomi Corporation, JD.com, and Tencent Holdings led gains, while MINIMAX, Zhipu AI, and Lenovo Group fell the most.
South Korea's KOSPI closed down 124.0 points, or 1.76%, at 6,909.92 points. Samsung Electronics fell 3.53% and SK Hynix dropped 2.21%. Japan's Nikkei 225 closed down 1,259.61 points, or 1.93%, at 64,011.34 points.
Disclaimer: This content is provided for informational purposes only and does not constitute investment advice. Trading decisions are made at your own risk.
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