Weekly Financial Summary 2025-03-24

Macroeconomy

1. Han Wenxiu, Deputy Director of the Central Financial and Economic Affairs Office: China will deepen supply-side structural reforms, replacing old growth drivers with new ones. With a complete industrial system, strong supporting capabilities, and integrated advantages, China is uniquely positioned to enhance supply chain quality and efficiency.

2. Lan Fuan, Minister of Finance: China will strengthen support for education, science, technology, and talent, promoting deeper integration of technological and industrial innovation. It will improve funding allocation mechanisms, prioritize core technology breakthroughs, and use tax incentives, government procurement, and investment funds to advance the "AI+" initiative and nurture emerging industries.

3. The Paper: The 2025 China Development Forum annual meeting released its list of key foreign participants, including Roland Busch (Chairman of Siemens), Tim Cook (CEO of Apple), Lee Jae-yong (Chairman of Samsung Electronics), and Oliver Zipse (Chairman of BMW Group).

4. Reference News: Italy’s Il Foglio published its first fully AI-generated newspaper, with the AI system handling text generation, headlines, summaries, and key quotes.

Real Estate Trends

1. Han Wenxiu, Deputy Director of the Central Financial and Economic Affairs Office: Since Q4 2024, China’s real estate market has seen positive changes, with recovery in first-tier cities. Risks in real estate, local government debt, and small/medium financial institutions are under control.

2. CCTV News: In Xidun New Village, Zhangjiagang, two homeowners received new property certificates and keys to a newly rebuilt two-story house, marking Suzhou’s first self-funded dilapidated house reconstruction project.

3. CITIC Securities: The real estate sector faces three opportunities: relatively advanced supply-side reforms, unprecedented policy support for bulk consumption, and keep improving transaction data. It is optimistic about developers which are good at "good house" construction and property services with potential dividend surprises.

Stock Market Review

1. Last Friday: Shanghai Composite -1.29% to 3,364.83 (weekly -1.6%); Shenzhen Component -1.76% to 10,687.55 (weekly -2.65%); ChiNext -2.17% to 2,152.28 (weekly -3.34%).

2. Last Friday: Hang Seng Index -2.19% to 23,689.72 (weekly -1.13%); Hang Seng Tech -3.37% to 5,639.56 (weekly -4.1%); H-share Index -2.32% to 8,742.44 (weekly -1.53%).

3. SenseTime: Denied rumors of an executive’s resignation, stating no resignations had been received.

4. Sinopec: 2024 revenue: 3.07 trillion yuan (-4.3% YoY); net profit: 50.313 billion yuan (-16.8% YoY). Dividend: 0.286 yuan/share. 2025 capex: 164.3 billion yuan.

5. Nanfang Seiko (4 consecutive daily limits): No significant operational changes; planning a refinancing.

6. Fenda Technology: Signed a 7.98 million yuan R&D contract with Tsinghua University for humanoid robot components.

7. Dajin Heavy Industry: Secured a $135 million contract for offshore wind monopiles in Europe, accounting for ~22.8% of 2023 revenue.

8. Xiangxue Pharmaceutical: Falsified 2019 annual report; stock renamed "ST Xiangxue."

9. Langyuan Co., Ltd.: Stock renamed "ST Langyuan" due to financial irregularities.

10. New Share Subscription: 3 new shares: Taihong Wanli and China Ruilin (main board), Shouhang Xinneng (GEM).

11. Unlocking of Restricted Shares: 57 companies with 2.461 billion shares worth 40.679 billion yuan to be unlocked. Xingchen Technology leads with 10.272 billion yuan.

12. Lier Chemical: Planning to acquire a controlling stake in Shandong Huimeng.

13. Meihu Co., Ltd.: To invest 700 million yuan in a Chongqing R&D base for harmonic reducers and joint modules.

Wealth Focus

1. China Welfare Lottery: Warned against "AI lottery prediction" scams, emphasizing lottery draws are random and unpredictable.

2. China Securities Journal: Wealth management firms like Puyin, BOC, and CCB have cut performance benchmarks by over 100 basis points, with some products now targeting ≤1%.

Industry Observation

1. Han Wenxiu, Deputy Director of the Central Financial and Economic Affairs Office: Crack down on "involutionary competition," regulate local government and corporate behavior, and promote fair pricing.

2. CCTV News: By 2024, China had 4.842 million sports venues (4.23 billion㎡), achieving the "14th Five-Year Plan" goal of 1,102 sports parks ahead of schedule.

3. BHP: Forecasts a 10 million-ton global copper deficit by 2035. Data centers alone may drive demand from ~500,000 tons/year to ~3 million tons/year by 2050.

4. Securities Times: Brazil’s drought has boosted coffee prices. Yunnan’s coffee beans, valued for stability and quality, have seen Japan’s imports reach over 900 tons/year.

5. Dengta Professional Edition: Ne Zha 2 ticke box is over 14.965 billion yuan, with the franchise becoming China’s first to exceed 20 billion yuan in total box office.

6. Lotu Technology: LCD TV panel prices divided in March, with 55-85 inch sizes rising. April prices expected to stabilize.

7. China News Service: Well Hai-301 in the Beibu Gulf Basin yielded 1,108 m³/d and 167 m³/d of oil equivalent, setting a new record.

8. Xinhua News Agency: Anhui Medical University launched "Jian Dan," an AI weight management assistant, to improve personalized intervention.

Company News

1. Hefei Joint Investigation Team: Sanzhiyang Company has compensated 27.7785 million yuan for defective products and resumed operations after correction.

2. Trina Solar: Unveiled an 808W perovskite/crystalline silicon tandem module, the first industrial-standard panel to exceed 800W.

3. Jiemian News: Apple is exploring adding cameras and AI features to future smartwatches, though commercial models are years away.

4. Google: Found LLMs mirror human brain language processing, with linear correlations in sound→meaning and order.

Global Perspective

1. CCTV News: U.S. Commerce Secretary Gina Raimondo sold 1,000 $5 million "golden immigration cards" to fund debt repayment. Cards may be revoked for legal violations.

2. Global Times: The IRS plans to share tax data with ICE for immigration enforcement, raising privacy concerns.

3. CCTV News: Kremlin spokesman Dmitry Peskov confirmed Putin’s order to pause attacks on Ukrainian energy infrastructure remains valid. Renewed U.S.-Russia engagement may depend on Ukraine’s actions.

Financial Data

1. New Third Board: 9 new listings, trading volume of 1.202 billion yuan (weekly -10.16%); total listings: 6,086.

2. Last Friday: Onshore RMB closed at 7.2489 (weekly -0.2781%); mid-price: 7.1760 (weekly -0.0307%).

3. Shanghai Environment and Energy Exchange: Carbon trading volume: 59,000 tons; turnover: 5.0623 million yuan; closing price: 87.78 yuan/ton (weekly -0.01%).

4. US Stocks: Dow +0.08% to 41,985.35 (weekly +1.2%); S&P 500 +0.08% to 5,667.56 (weekly +0.51%); Nasdaq +0.52% to 17,784.05 (weekly +0.17%).

5. Europe: DAX -0.47% to 22,891.68 (weekly -0.41%); CAC 40 -0.63% to 8,042.95 (weekly +0.18%); FTSE 100 -0.63% to 8,646.79 (weekly +0.17%).

6. Gold: COMEX futures -0.49% to $3,028.7/oz (weekly +0.92%).

7. Crude Oil: WTI May futures +0.31% to $68.28/bbl (weekly +2%); Brent May futures +0.22% to $72.16/bbl (weekly +2.2%).