Midday Report: The Shenzhen Component Index opened lower and rose nearly 1% in the morning, with the innovative drug and lithium battery sectors all surging.

The three major indexes of A-shares collectively rose in the morning session. As of noon, the Shanghai Composite Index rose 0.26%, the Shenzhen Component Index rose 0.93%, and the ChiNext Index rose 0.83%. The BeiGene Index fell by 0.06%. The total turnover of Shanghai, Shenzhen, and the ChiNext markets in the first half of the day was 1.1469 trillion yuan, down by 86.3 billion yuan from the previous day. More than 3,700 stocks in the entire market were in the positive territory. In terms of sector performance, energy metals, minor metals, innovative pharmaceuticals, fertilizers, chemical raw materials, precious metals, dairy industry, and battery sectors led the gains, while the power, coal mining and processing, banking, insurance, port and shipping, and wind power equipment sectors fell the most. On the market, the continued high activity of domestic innovative pharmaceutical companies going abroad for BD transactions boosted the sector, with nearly 10 stocks such as Tianjin Pharmaceutical Industry, Lianhuan Pharmaceutical Industry, and Zhaoyan New Medicine hitting the limit up. Due to the continued escalation of the ban on lithium ore exports from Zimbabwe, lithium ore, battery, and other new energy sector stocks performed strongly, with Rongjie Corp up for the fourth consecutive day. In addition, sectors such as chemical industry, precious metals, and dairy industry also had good performances. On the other hand, most of the power sector saw adjustments, with Zhejiang Xineng and Hunan Development leading the decline. The coal, oil, and gas sectors followed the international oil price fluctuations, with Zhengzhou Coal & Electricity, Shanxi Black Cat, and Yunnan Coal Energy all falling.