Financial attention
Macroeconomics
1. The Central Committee of the Communist Party of China: To promote coordinated efforts in implementing national development plans, major strategies, fiscal, monetary, industrial, price, employment and other policies, optimize the allocation of various incremental resources and adjust the stock structure. Explore the implementation of national macro balance sheet management. Incorporate both economic and non economic policies into the macro policy orientation consistency assessment. Establish a sound expectation management mechanism. Establish a sound system for experts to participate in public decision-making.
2. Ministry of Ecology and Environment: As of July 15th, the cumulative trading volume of carbon quotas in the national carbon market has reached 465 million tons, with a cumulative trading volume of nearly 27 billion yuan. The carbon market will steadily expand its industry coverage and accelerate the inclusion of key emission industries such as steel, cement, and aluminum smelting into the national carbon market.
3. Chengdu Bureau of Statistics: In the first half of the year, the city achieved a regional GDP of 1115.21 billion yuan, a year-on-year increase of 4.8%. In terms of industries, the added value of the primary industry was 20.65 billion yuan, an increase of 2.0%; The added value of the secondary industry was 327.67 billion yuan, an increase of 4.1%; The added value of the tertiary industry was 766.89 billion yuan, an increase of 5.1%.
4. The Central Committee of the Communist Party of China: Improve the support and service system for population development, with a focus on addressing aging and low birth rates, refine the population development strategy, improve the policy system and incentive mechanism for childbirth support, effectively reduce the costs of childbirth, nurturing, and education, improve the maternity leave system, and establish a maternity subsidy system. The restrictions on registered residence registration in employment places will be completely lifted, and the development of a multi-level and multi pillar pension insurance system will be accelerated.
Stock market inventory
1. Last Friday, the Shanghai Composite Index closed up 0.17% at 2982.31 points, up 0.37% for the week; The Shenzhen Component Index closed up 0.27% at 8903.23 points, up 0.56% for the week; The ChiNext Index closed up 0.45% at 1725.49 points, with a weekly increase of 2.49%.
2. Last Friday, the Hang Seng Index closed down 2.03% at 17417.68 points, down 4.79% for the week; The Hang Seng Technology Index closed down 2.12% at 3536.54 points, down 6.49% for the week; The state-owned enterprise index closed down 2.25% at 6165.04 points, down 5.63% for the week.
3. The Central Committee of the Communist Party of China: Improve the capital market function that coordinates investment and financing, prevent risks, strengthen supervision, and promote the healthy and stable development of the capital market. Support the entry of long-term funds into the market. Improve the quality of listed companies, strengthen the supervision and delisting system of listed companies. Establish a long-term mechanism to enhance the inherent stability of the capital market. Improve the mechanism for regulating and constraining the behavior of major shareholders and actual controllers. Improve the incentive and restraint mechanism for dividends of listed companies. Establish a sound investor protection mechanism.
4. CSI Index Company: will officially release the China Marine Economy Stock Price Index on July 23rd. This index is customized by the National Marine Information Center, selecting securities of listed companies in the marine field from the mainland and Hong Kong markets as index samples to reflect the overall performance of representative listed companies' securities in the marine field in the mainland and Hong Kong markets.
5. Securities Times: As of July 20th, a total of 21 securities firms have released their performance information for the first half of the year, with a decline in performance being the main tone. 6 securities firms have achieved net profit growth, while 15 securities firms have experienced a decline in net profit. Securities firms with a small decrease in net profit in the first half of the year are expected to maintain a leading position in the industry.
6. Financial Headlines App: As of July 21st, 17 listed companies in the Apple industry chain have disclosed their performance forecasts for the first half of the year. Among them, Feirongda's net profit is expected to increase by 1243.65% -1492.48% year-on-year, Dongmu Group's net profit is expected to increase by 419% -447% year-on-year, GoerTek Group's net profit is expected to increase by 180% -200% year-on-year, and Dazu Laser, Bojie Group, Crystal Optoelectronics, and Xinwangda's net profit are all expected to increase by over 100% year-on-year. In terms of month on month performance, Matsui Group's Q2 net profit is expected to increase by 131.55% -153.66%, while GoerTek Group's Q2 net profit is expected to increase by 112% -134%.
7. Xianle Health: Expected net profit of 147 million to 162 million yuan in the first half of the year, a year-on-year increase of 45% to 60%. The company has increased its efforts to expand its overseas business and achieved overall performance growth.
8. Kanglong Huacheng: Expected net profit of 1.055 billion yuan to 1.143 billion yuan in the first half of the year, a year-on-year increase of 34% -45%. Among them, the revenue from clinical research services, as well as the revenue from large molecule and cell and gene therapy services, all achieved growth on a month on month and year-on-year basis.
9. Jinhong Group: achieved a revenue of 2.077 billion yuan in the first half of 2024, a year-on-year decrease of 1.61%; Net profit was 147 million yuan, an increase of 2.80% year-on-year.
10. New stock subscription: This week, there were 3 new stock subscriptions, namely Liju Thermal Energy on the Shanghai Stock Exchange Main Board, Boshijie on the ChiNext Board, and Longtu Mask on the Science and Technology Innovation Board.
11. Restricted and unlocked: This week, a total of 86 restricted shares were unlocked, with a total of 6.67 billion shares unlocked and a market value of 100.818 billion yuan. Among them, Daquan Energy ranked first on the unblocked list with 30.55 billion yuan, while Sansheng Guojian and Jinbo Biotechnology ranked second and third with 10.156 billion yuan and 9.521 billion yuan, respectively.
Industry Observation
1. The Central Committee of the Communist Party of China: Efforts should be made to build an independent and controllable industrial and supply chain, improve and strengthen the development system and mechanism of key industrial chains such as integrated circuits, industrial mother machines, medical equipment, instruments and meters, basic software, industrial software, and advanced materials, and promote technological breakthroughs and application of achievements throughout the entire chain. Establish a risk assessment and response mechanism for industrial and supply chain security. Improve the collaborative mechanism for the orderly and gradient transfer of industries in China, and promote the sharing of benefits between the transferring and receiving regions.
2. The Central Committee of the Communist Party of China: Promote the formation of a new system for intelligent and efficient governance of super large cities, and establish a system and mechanism for the development of urban agglomerations. Deepen the reform of granting economic and social management rights to mega towns that are commensurate with their population and economic scale. Establish a sustainable urban renewal model and policies and regulations, strengthen the construction of underground comprehensive pipe galleries and the upgrading of old pipelines, and deepen the action to enhance urban safety resilience.
3. First Financial News: It is reported that GAC Toyota will follow the strategy of luxury fuel brands such as BMW to withdraw from price wars and will no longer lower prices. According to sources from GAC Toyota, the official has never stated that they will withdraw from the price war. However, due to being unexpectedly involved in the BMW incident, GAC Toyota models will still have discounted prices, but the discounted prices will tend to stabilize.
4. Cui Dongshu from the China Association of Automobile Manufacturers: This year, manufacturers have significantly reduced production to cope with the sluggish market. In June, the trend of new energy was good, but at the end of the month, the national passenger car inventory was 3.44 million units, an increase of 150000 units compared to the previous month, and the proportion of manufacturer inventory was 25.5%.
5. Central Committee of the Communist Party of China: Improve the mechanism of determining factor prices mainly based on market supply and demand, and prevent improper government intervention in price formation. Establish a mechanism for evaluating the contribution of production factors such as labor, capital, land, knowledge, technology, management, and data by the market and determining rewards based on their contributions.
6. China News Service: The 2024 China Quantum Computing Industry Summit and Quantum Computing Developer Conference will be held in Guangzhou on July 20th. At the meeting, the "friend circle" of China's first quantum computing industry alliance, the "Origin Quantum Computing Industry Alliance", was once again expanded, with a total of over 100 alliance units.
7. Economic Daily: Since the beginning of this year, the popularity of tourism in Xinjiang has remained high. From January to June, the total number of tourists received in Xinjiang reached 120179600, a year-on-year increase of 16.28%; The tourism revenue reached 131.657 billion yuan, a year-on-year increase of 37.39%. With the arrival of summer and peak tourism season, the tourism market in Xinjiang continues to heat up.
8. Xinhua News Agency: Since the beginning of this year, the flow of inbound and outbound personnel at Chengdu Air Port has continued to increase significantly. As of 11:00 on July 20th, the flow of inbound and outbound personnel at the port has exceeded 3 million this year, surpassing the entire year of 2023.
9. Economic Daily: The industrialization process of synthetic biology continues to accelerate and is expected to become a new golden track. In the past three years, about 40% of newly established synthetic biology enterprises in China have settled in Shenzhen. As of the end of June, there were 116 synthetic biology enterprises gathered in Guangming District, Shenzhen, with a valuation of nearly 32 billion yuan for the synthetic biology industry cluster.
Financial data
1. Last Friday, the onshore Chinese yuan closed at 16:30 against the US dollar at 7.2672, a decrease of 0.1378%, and a weekly decrease of 0.1199%; The central parity rate of RMB was reported at 7.1315, down 0.0421%, and down 0.0000% for the week.
2. New Third Board: Last week, 5 new listed companies were added with a transaction amount of 698 million yuan, an increase of 25.37% compared to the previous week. As of now, the total number of companies listed on the New Third Board has reached 6148.
3. Shanghai Environmental Protection Exchange: Last week, the trading volume of carbon emission quota listing agreements in the national carbon market was 64800 tons, with a total transaction volume of 5.7355 million yuan and a closing price of 88.61 yuan/ton, a weekly decline of 1.74%.
4. US stock market: Last Friday, the Dow Jones Industrial Average fell 0.93% to 40287.53 points, up 0.72% for the week; The S&P 500 index fell 0.71% to 5505.00 points, with a weekly decline of 1.97%; The Nasdaq fell 0.81% to 17726.94 points, down 3.65% for the week.
5. Europe: Last Friday, the German DAX30 index fell 1% to 18171.93 points, down 3.07% for the week; The French CAC40 index fell 0.69% to 7534.52 points, down 2.46% for the week; The FTSE 100 index in the UK fell 0.60% to 8155.72 points, down 1.18% for the week.
6. Gold: Last Friday, COMEX gold futures closed down 2.2% at $2450.4 per ounce, down 0.56% for the week.
7. Crude oil: Last Friday, WTI crude oil futures for August fell 3.25% to $80.13 per barrel, down 2.53% for the week. Brent crude oil futures for September fell 2.91% to $82.63 per barrel, down 2.82% for the week.
On the one hand, benefiting from the rising prosperity of the semiconductor display industry, and on the other hand, driven by large-scale sports events and e-commerce promotion activities in the first half of the year, the demand for TV panels has increased. The pattern improvement of further increasing industrial concentration and the trend towards larger sizes on the demand side are driving the reasonable price recovery of major large-sized products; The development and application of artificial intelligence technology are accelerating the upgrading and replacement of IT products, and the mid size market is experiencing structural growth; In the small-sized field, the increase in OLED penetration rate and the iteration of new technologies bring opportunities for the enhancement of display value and localization.
China Fund News: In March and April, due to strong demand for inventory from downstream brand factories, the LCD utilization rate, especially the TV utilization rate, remained at a high level; With the decline in phased stocking demand, there was a slight decrease in the LCD industry utilization rate in May and June. Entering the third quarter, it is expected that the industry as a whole will continue to adopt the business strategy of "on-demand production" to maintain the healthy development of the industry. For the future trend of large-sized panel prices, in the past two years, the supply and demand relationship in the industry has continuously improved, and the price of TV panels has gradually rebounded to a better profit range. From recent quarters, the price fluctuations of TV panels have gradually converged and fluctuated narrowly around a reasonable price center, demonstrating strong stability. In the long run, with the continuous optimization of the supply pattern and the stable growth of demand area, the supply and demand relationship in the industry will gradually approach a tight balance between supply and demand, and the price of large-sized panels is expected to remain stable and rise annually.
Omdia: In 2024, the shipment volume of OLED panels (large-sized displays) over 9 inches will increase by 124.6%. In 2023, the market will shrink by 25.7%. In 2024, shipments in all application areas will increase, including televisions, monitors, tablets, and laptops. OLED shipments of tablet computers are expected to increase by 294% year-on-year, largely due to Apple's adoption of OLED in the 2024 iPad Pro tablet; Laptop OLED shipments will increase by 152.6%; OLED display shipments will increase by 139.9%; The shipment volume of OLED TV panels will increase by 34.8%.
Galaxy Securities: The promotional stocking season for the panel industry is coming to an end, and terminal demand is slightly weak. However, the supply side competition pattern continues to improve, and the overall supply and demand situation is relatively stable. Some sub categories in the panel are steadily improving, and it is recommended to pay attention to companies related to large-sized LCDs; 2) OLED related companies.