ChiNext Index rose 3.28%, AI video concept led gains, over 4,700 stocks in the whole market closed higher

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The three major A-share indices rose collectively, with the ChiNext Index gaining more than 3%. On the board, AI video, gaming, Zhipu AI concept, Kimi concept, media, and film and cinema chains led the gains, while precious metals, coal mining, banking, and oilfield engineering services performed poorly, falling against the trend. EM_StockImg_Start

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As of the midday close, the Shanghai Composite Index rose 1.16% to 3,640.93 points; the Shenzhen Component Index rose 2.39% to 11,092.39 points; the ChiNext Index rose 3.28% to 2,492.91 points; the STAR 50 Index rose 2.95% to 1,195.08 points; and the Beijing Stock Exchange 50 Index rose 2.03% to 903.68 points. Across the entire market, 4,783 stocks rose and 714 fell, with 93 stocks hitting the daily limit up. The two markets recorded combined half-day turnover of 1.1401 trillion yuan. EM_Promo_Module_Start EM_Promo_Module_End EM_Promo_Module_Start EM_Promo_Module_End EM_Promo_Module_Start EM_Promo_Module_End EM_Promo_Module_Start

Today's Key News

The PBOC, the National Financial Regulatory Administration, and the CSRC will hold a meeting today

At around 9 a.m. on November 2, the People's Bank of China and the China Securities Regulatory Commission will hold a meeting to study and promote the use of tools supporting the capital market. On the same day, the People's Bank of China, the National Financial Regulatory Administration, and the China Securities Regulatory Commission will also convene major banks for a meeting to study optimizing the policy on relending for stock buybacks and increased holdings. The meeting will be held at the PBOC.

Products have already begun building positions! 7 Shanghai-listed active ETFs established, with incremental funds expected to keep flowing in

On October 28, the JPMorgan Large-Cap Growth Active ETF and the E Fund Quality Balanced Active ETF were officially established; on October 29, the ChinaAMC Quality Select Active ETF, the Ping An Dividend Prosperity Active ETF, and the Huatai-PineBridge Value Select Active ETF were officially established; on October 30, the China Universal Balanced Strategy Smart Select Active ETF and the China Merchants Value Smart Select Active ETF were officially established. It is understood that active ETFs under managers including JPMorgan, E Fund, ChinaAMC, and Ping An have already begun building positions, and other products will also be established and begin building positions successively.

A-share valuations have been extremely compressed! Fund manager: the current point offers highly attractive "odds"

Liu Yutao, a fund manager at Xinyuan Fund, believes that at the micro level many individual stocks have fallen to a level with absolute return value. The prices of many consumer and overseas export stocks have fallen to a level where "cash on the books + sustainable dividends" can cover them, and the current point offers very attractive investment odds.

Where the 550 billion yuan social security fund moved in the third-quarter reports! Newly entered 146 stocks, increased holdings in 195, reduced holdings in 138

On the shareholder lists of A-share companies, the social security fund's holdings changed little compared with the end of the second quarter, with changes mainly at the structural level: it newly entered 146 stocks, increased holdings in 195, and reduced holdings in 138. Another 126 stocks saw no change in holdings, and this portion of positions had a combined market value of more than 330 billion yuan, accounting for about 60% of the social security fund's total holdings market value.

Institutional Views

CICC: The business model of medium-length dramas may already be proven, and they are expected to enter a fast track of scaled development

A CICC research report states that combining content depth and high narrative density, medium-length dramas are expected to form an effective supplement to the drama content ecosystem. Long-video platforms hope to proactively create a stable-supply middle layer to reduce risk through the revenue-sharing model, and medium-length dramas are upgrading from a testing ground for small and medium-sized companies to a new way for long-video platforms to defend and grow. CICC believes that the business model of medium-length dramas may already be proven and that they are expected to enter a fast track of scaled development, with potential in three dimensions. Cost: the average cost of medium-length dramas is lower than that of long dramas, bringing a clear ROI advantage, and platforms may be able to enrich supply more efficiently and accommodate the stratification of the content ecosystem. Revenue sharing: supplementing commercial shortcomings in a decentralized manner. AI: expanding incremental space as technology iterates.

CITIC Securities: In November, one should still seek structural opportunities with an offensive approach

A CITIC Securities research report believes that in November one should still seek structural opportunities with an offensive approach, and leading technology manufacturing companies with support from earnings growth are worth focusing on. Han's Laser and 3PEAK saw rapid revenue and profit growth in the third quarter, reflecting that demand for some equipment and chips has entered a stage of earnings release. The pull from AI investment is extending along the industrial chain to storage, high-end PCB equipment, and data center power supply, while domestic substitution provides sustained growth space for analog chips and industrial automation. As third-quarter reports are released, CITIC Securities judges that the market is expected to pay more attention to profit growth and the visibility of next year's orders, and it is optimistic about the performance of related leaders. Beyond technology, locked-in oil shipping freight rates are conducive to fourth-quarter profit release, and leading home appliance companies' overseas operations, independent motorcycle brands going global, and domestic substitution of interventional devices also each have their own growth logic.

Zhongtai Securities: Asset quality of bank stocks is stable, and full-year performance certainty is strong

A Zhongtai Securities research report believes that certain full-year performance will bring steady returns for bank stocks in 2026, while the short term is related to market style; the economic development model will continue (strong policy resolve), and strong corporate business and residents' persistently low risk appetite will drive net interest margins to bottom out and rebound, with sustained revenue growth being a highlight and performance certainty strong. There are two main investment lines for bank stocks: first, city and rural commercial banks with regional advantages and strong certainty, in regions including Jiangsu, Shanghai, Chengdu-Chongqing, Shandong, and Fujian; second, the logic of high dividends and stability, with large banks particularly recommended.

Guotai Haitong: Proprietary trading dragged down securities firms' third-quarter performance; recommend the dual main lines of international business and wealth management

Guotai Haitong released a research report stating that, affected by fluctuations in the primary and secondary equity markets, proprietary trading became the core drag on the single-quarter performance decline in the third quarter; under cyclical influence, the divergence between leading securities firms and small and medium-sized securities firms has widened, and based on advantages such as international business and wealth management, the future development of leading securities firms is viewed favorably. At present, high-quality leading securities firms have significant advantages in ROE level and growth, as well as in valuation cost-effectiveness, and the dual main lines of international business and wealth management are recommended.

CSC: China's innovative drugs continue to make breakthroughs, with competition and differentiation coexisting

A CSC research report states that at the 2026 European Society for Medical Oncology (ESMO), Chinese innovative drugs are making comprehensive efforts across multiple tumor types, with many projects moving from early exploration into Phase III clinical trials or the BLA/NDA stage. Domestic pharmaceutical companies have already formed a pattern of advancing on multiple lines in tracks such as IO bispecifics and multispecifics, ADCs, and small-molecule targeted therapies, with positive Phase III endpoints blossoming at multiple points and continuous output of clinical data with international competitiveness, marking that China's innovative drug R&D is continuously moving from follow-on innovation to a new stage of source innovation and global leadership, and the industry development logic is moving from "fast-follow" into a stage where "first-in-class" and "best-in-class" proceed in parallel.

Soochow Securities: To stabilize the market, action must come before funds are forced to leave

On November 2, Chen Li of Soochow Securities said that the market is forming a dangerous negative transmission: a second pullback in tech stocks has pushed funds close to their stop-loss lines, the hundred-billion-level financing needs of US AI giants are draining global liquidity, and the Huafa debt crisis has again caused redemption pressure in the credit market to spill over into the stock market. The combination of these three forces is turning funds "willing to buy" into sell orders that "have to sell." Stabilizing the market must come before funds are forced to leave; there is no need to wait until a liquidity crisis is confirmed before taking more forceful action. Middle of the main text Embedded advertisement