Midday Review: The ChiNext Index fell by 0.80% in the morning session, while AI application companies were surprisingly active.

The market opened with fluctuations and adjustments, with the Shenzhen Component Index and ChiNext Index briefly turning positive during the trading session. In terms of sectors, the military sector showed strength in the morning, with China Great Wall Military Industry Co., Ltd. rising by the daily limit; companies in the Huawei computing power concept sector strengthened, with stocks like Lezhi Knowledge Group and Aerospace Development hitting the limit up; companies in the AI application sector were active against the trend, with stocks like 360 Group and Xunya International hitting the limit up; on the downside, the precious metals sector showed weakness and fluctuation, with Zhaojin Gold leading the decline; the innovative medicine sector experienced a pullback, with Haicheng Pharmaceutical leading the decline; the photovoltaic equipment sector showed a widespread decline, with Hongyuan Green Energy leading the decline. Overall, there were more declining stocks than rising stocks, with over 2900 declining stocks. As of the midday close, the Shanghai Composite Index was at 3973.31, down 0.43%; the Shenzhen Component Index was at 13169.37 points, down 0.35%; and the ChiNext Index was at 3086.67 points, down 0.80%. On the market, the energy metals, arms restructuring concept, and Huawei Euler sectors led the gains, while the precious metals, biopharmaceuticals, and photovoltaic equipment sectors led the declines.