Midday Update: The Shenzhen Component Index and the ChiNext Index both fell more than 1% in the first half of the day, while the coal, energy, and chemical sectors showed strength against the trend.

The three major indices of A-shares collectively fell in the morning session. As of midday, the Shanghai Composite Index fell by 0.64%, the Shenzhen Component Index fell by 1.35%, the ChiNext Index fell by 1.67%, and the CSI 50 Index fell by 1.08%. The total turnover in Shanghai, Shenzhen, and the SME board markets was 1.6071 trillion yuan in the first half of the day, decreasing by 74.4 billion yuan compared to the previous day. Over 4100 stocks in the entire market declined. In terms of sectors, coal mining and processing, chemical fibers, oil and gas exploration and services, coal chemical industry, steel, pork, fertilizers, and soybeans were among the top gainers. On the other hand, minor metals, military equipment, electric power equipment, diamond cultivation, copper cable high-speed connection, engineering machinery, advanced packaging, and satellite navigation sectors were among the top losers. On the market, the continued closure of the Hormuz Strait and the surge in international oil prices boosted the energy sectors such as petrochemicals and coal. Huaian Power Generation surged for the third consecutive day, while Shaanxi Black Cat and Baotaillong followed the uptrend. The chemical fiber sector opened higher, with Jilin Chemical Fiber and Zhongfu Shenying hitting the limit up. It was reported that China's independently developed T1200 grade ultra-high strength carbon fiber was globally launched today. Additionally, the steel, soybean, and banking sectors performed well. On the other hand, the rise in oil prices suppressed risk appetite, causing technology stocks such as copper cable high-speed connection and semiconductors to mostly decline. Zhongfu Circuit, Huilv Ecology, and Baiwei Storage were among the top decliners. The minor metals sector also performed poorly, with Zhangyuan Tungsten and Western Materials leading the decline.