A-share midday report: Index fluctuates and rises, the ChiNext Index rises more than 2% and reaches above 4100 points, and computing power hardware continues to lead the gains.

On June 16, the A-share market shook and rose in the morning trading session. By the midday closing, the Shanghai Composite Index rose by 0.06%, the Shenzhen Component Index rose by 1.17%, and the Growth Enterprise Market Index rose by 2.05%. The total trading volume of the Shanghai and Shenzhen stock markets in the morning was 1.95 trillion yuan, a decrease of 85.2 billion yuan from the previous trading day. In terms of market performance, the storage chip concept continued to strengthen, with major semiconductor companies rising by more than 12%. Securities sector saw abnormal surge, with Guangdong Golden Dragon Development Inc. hitting the daily limit. Optical communication concept was active, with MPO leading the way. MLCC concept also showed strength. On the downside, funds continued to flee from traditional sectors such as liquor, beer, hotels, healthcare, coal, chemicals, cement, port shipping, gold, silver, banks, insurance, real estate, and media. In focus, the leading stock in the lithium battery sector, Eve Energy Co.,Ltd., surged in the morning trading session, sparking a rally in mid-year reports. The company is expected to see a significant increase in net profits in the first half of the year compared to last year. Looking ahead, Soochow believes that there are no clear signs of a trend reversal in the current stage, both in terms of industry and liquidity environment. The tech sector is still in the early stages of large-scale commercialization, with potential areas like AI and physical AI yet to be fully explored. Popular sectors include storage chips, securities, optical communication, and MLCC concepts. Analysts are optimistic about the outlook for the tech sector, citing strong fundamentals and positive market sentiment. Institutional views vary, with some maintaining a neutral optimistic stance while others suggest caution and balanced allocation. Market performance in the tech sector remains contingent on volume and sector performance confirmation.