Chinese A-shares showed mixed performance in the morning session, with major indices diverging. Commercial aerospace, papermaking, robotics, and insurance sectors led gains, while precious metals, Hainan Free Trade Port, lithium mining, and CPO sectors led declines.
As of midday on December 25, the Shanghai Composite Index rose 0.29%, the Shenzhen Component Index fell 0.11%, and the ChiNext Index dropped 0.37%. The broader market saw more gainers than decliners, with nearly 3,300 stocks rising across Shanghai, Shenzhen, and Beijing exchanges. Half-day turnover reached 1.21 trillion yuan.
Key sector performances: - **Commercial aerospace** continued its rally, with Shenjian Co. hitting its sixth consecutive limit-up, while Guanglian Aviation, Zhongtian Rocket, and over 20 other stocks surged by the daily cap. - **Papermaking** extended gains, with Bohui Paper and Yibin Paper among the top gainers. - **Robotics** stocks were active, with Fenglong Co., Tianqi Co., and others surging to limit-up. - **Precious metals** declined, with Silver Nonferrous and Shengda Resources dropping over 6%.
**Key Index Levels at Midday:** - Shanghai Composite: 3,952.50 (+0.29%) - Shenzhen Component: 13,472.22 (-0.11%) - ChiNext: 3,217.47 (-0.37%) - CSI 300: 4,631.00 (-0.07%) - STAR 50: 1,344.45 (-0.57%) - CSI 500: 7,375.81 (+0.32%) - CSI 1000: 7,548.12 (+0.56%)
**Hong Kong Markets:** The Hang Seng Index closed up 0.17%, while the Hang Seng Tech Index rose 0.19% in an early holiday closure.
**Commodities:** Domestic futures were mixed at midday: - **Decliners:** Palladium (-9.99%), Lithium Carbonate (-2.44%), Nickel (-1.79%) - **Gainers:** Ethylene Glycol (+1.82%), Containerized Freight Index (Europe) (+0.81%), Ferrosilicon (+0.50%), LPG (+0.49%) - Guangzhou Futures Exchange’s palladium futures hit the downside limit for the first time since listing.
**Treasury Bonds:** Most bond futures fell slightly, with the 30-year contract up 0.02% at 112.800 yuan, while the 10-year and 5-year contracts dipped 0.01%.
**Currency Markets:** - The onshore yuan (CNY) strengthened past 7.01 per dollar, hitting its highest since September 27, 2024. - The offshore yuan (CNH) breached 7.0, a first since late September 2024. - Market consensus expects yuan appreciation in 2026, with bullish forecasts from both foreign and domestic institutions.
**Robotics Sector Surge:** Stocks like Julong Intelligent, Taier Co., Fenglong Co., and Wanxiang Qianchao surged, with Tuosda up over 18% and Haozhi Machinery rising 12%. - **Catalyst:** Yunshenchu Technology completed Pre-IPO funding led by the National AI Industry Fund and JD.com, filing for A-share IPO on December 24. The company specializes in quadruped and humanoid robotics for industrial applications.
**Commercial Aerospace Momentum:** Stocks like Boyun New Materials (two-day limit-up), Tianao Electronics, and Guanglian Aviation extended gains.
**Bond Futures Opening:** The 30-year contract rose 0.12%, while shorter tenures were flat or slightly lower.
**Convertible Bonds:** The CSI Convertible Bond Index opened 0.03% lower, with Beigang and Lianchao bonds up over 4%, while Outong bonds fell over 3%.
**Equity Indices at Open:** - Shanghai Composite: 3,937.72 (-0.08%) - Shenzhen Component: 13,472.70 (-0.10%) - ChiNext: 3,232.97 (+0.11%)
**Currency Midpoint:** The PBOC set the yuan midpoint at 7.0392, up 79 pips from the previous fix.
**Commodity Futures Open:** Palladium plunged nearly 10%, platinum dropped over 5%, while ethylene glycol rose over 2%.
**A50 Futures:** FTSE China A50 futures dipped 0.07% in early trading.
Comments