On May 25th, the three key A-share indices experienced a brief dip following a positive opening in the morning session, only to stage a robust rebound. By midday, the Shanghai Composite Index had climbed 0.57%, the Shenzhen Component Index had advanced 0.87%, the ChiNext Index had gained 1.14%, and notably, the STAR 50 Index had surged by an impressive 3.56%. Trading volume on the Shanghai and Shenzhen stock exchanges reached RMB 2.08 trillion in the morning, marking an increase of nearly RMB 300 billion compared to the previous trading day, with close to 2,000 stocks finishing in positive territory.
In terms of sector performance, stocks backed by the National Integrated Circuit Industry Investment Fund demonstrated remarkable strength. Hua Hong Semiconductor soared over 16%, SMIC jumped over 11%, and Yake Technology hit its daily limit. The cultivated diamond sector emerged as a leader, with Henan Huanghe Whirlwind, Boyun New Materials, and Henglin Chair all reaching their daily limits.
Huawei's unveiling of the 'Semiconductor Tao's Law' provided a significant boost to the semiconductor supply chain. Dosilicon and Sunlord Electronics hit the 20CM daily limit, while Cambricon surged over 8%. Huawei HiSilicon concept stocks also witnessed a surge, with Huatian Technology and Yihua hitting their daily limits.
Coal concept stocks were among the top performers, with Shandong Mining Machinery, Huadian Energy, Pingmei Shenma, and Jingneng Power all reaching their daily limits. Baijiu (Chinese white spirit) stocks made a recovery, with Jinhui Liquor and Huangtai Wine hitting their daily limits. In contrast, Kuaishou concept stocks faced notable declines, with Zhidu hitting its daily limit, and Pingzhi Information, Shengyang, and Capital Online following suit. The horse racing, titanium dioxide, and oil & gas exploration and service sectors also experienced downturns.
