Midday review: The Shenzhen Component Index rose 0.28% in the first half of the day, with AI hardware stocks such as CPO and liquid-cooled servers collectively surging.

In the morning session, the three major A-share indexes showed mixed movements. By midday, the Shanghai Composite Index fell by 0.08%, the Shenzhen Component Index rose by 0.28%, and the Growth Enterprise Market Index fell by 0.39%. The Beijing 50 Index rose by 0.28%. The total turnover of the Shanghai, Shenzhen, and Hong Kong stock markets reached 1.6498 trillion yuan by midday, an increase of 117.6 billion yuan from the previous day. Over 2300 stocks in the market rose. In terms of sector performance, the CPO, fiber optics, copper cable high-speed connections, PCB, liquid cooling servers, power grid equipment, diamond cultivation, and aerospace engine sectors performed well, while the film and television industry, insurance, real estate, automobile manufacturing, epoxy propane, short drama games, building materials, and duty-free shops sectors experienced declines. On the market side, the Nvidia financial report exceeding expectations overnight boosted the AI industry chain sentiment, with CPO, copper cables, liquid cooling servers, PCB, and other AI hardware stocks all rising collectively. Tianfutong Communication, Shenling Environment, and Huafeng Technology reached historical highs intraday. The power grid equipment sector also benefited from the AI boom, with Beijing Kehui and Hangdian shares hitting the daily limit. Zimbabwe announced a temporary suspension of lithium concentrate and ore exports, leading to a rise in the lithium plate, with Jinyuan shares and Xianfeng Holdings both hitting the daily limit. In addition, diamond cultivation, computing power leasing, and commercial aerospace showed some upward movements intraday. On the other hand, the real estate sector saw a pullback as the market took profits from the favorable new policies for the Shanghai property market announced yesterday, with Huaxia Happiness and Shilin Hang leading the declines. The battery energy storage sector was under pressure due to concerns about the rise in lithium carbonate prices upstream squeezing profits, with Suntech Power and Ningsheng Times falling by over 5% intraday.