CICC pointed out that several external narratives affecting the market are still short-term and phased, and the recovery of the A-share market since the end of July is still expected to continue. At the allocation level, market fluctuations increased under external shocks, and the dividend style regained dominance on the 19th. In the future, as market risk appetite gradually recovers and peak performance period approaches, we recommend focusing on areas and companies with strong performance certainty. Focus on the two main lines: 1. Boom growth still requires careful selection: the level of congestion in the technology sector has declined markedly after adjustment; industries with high enough prosperity can achieve high molecular growth to hedge the effect of dragging the denominator side; AI infrastructure-related links, such as optical communication, PCB, etc., are still highly deterministic this year, and companies with more fields such as semiconductors and computing power still need to pay attention to the degree of matching between fundamentals and valuations. The market may show a trend of differentiation after technological growth; the market may show a trend of differentiation after technological growth; the market may show a trend of differentiation after technological growth; the market may show a trend of differentiation after technological growth; the market may show a trend of differentiation after technological growth; more innovative drug companies have entered the next stage of clinical data verification and are worth considering the next stage of clinical data verification. Follow it up. 2. Cycle improvement: Fundamentals in more and more fields are recovering from the bottom of the cycle. We recommend comprehensively considering the geographical situation and production capacity cycle position, and focusing on areas where performance is improving and the supply and demand pattern is improving, such as power grid equipment, petrochemicals, construction machinery, and non-bank finance industries that benefit from improving capital markets; the non-ferrous metals sector is also worth paying attention to after experiencing many adjustments. The fundamental recovery in the pure domestic demand industry is still progressing relatively slowly and requires further observation.

CICC pointed out that several external narratives affecting the market are still short-term and phased, and the recovery of the A-share market since the end of July is still expected to continue. At the allocation level, market fluctuations increased under external shocks, and the dividend style regained dominance on the 19th. In the future, as market risk appetite gradually recovers and peak performance period approaches, we recommend focusing on areas and companies with strong performance certainty. Focus on the two main lines: 1. Boom growth still requires careful selection: the level of congestion in the technology sector has declined markedly after adjustment; industries with high enough prosperity can achieve high molecular growth to hedge the effect of dragging the denominator side; AI infrastructure-related links, such as optical communication, PCB, etc., are still highly deterministic this year, and companies with more fields such as semiconductors and computing power still need to pay attention to the degree of matching between fundamentals and valuations. The market may show a trend of differentiation after technological growth; the market may show a trend of differentiation after technological growth; the market may show a trend of differentiation after technological growth; the market may show a trend of differentiation after technological growth; the market may show a trend of differentiation after technological growth; the market may show a trend of differentiation after technological growth; the market may show a trend of differentiation after technological growth; the market may show a trend of differentiation after technological growth; the market may show a trend of differentiation after technological growth; the market may show a trend of differentiation after technological growth; the market may show a trend of differentiation after the technological growth; Follow it up. 2. Cycle improvement: Fundamentals in more and more fields are recovering from the bottom of the cycle. We recommend comprehensively considering the geographical situation and production capacity cycle position, and focusing on areas where performance is improving and the supply and demand pattern is improving, such as power grid equipment, petrochemicals, construction machinery, and non-bank finance industries that benefit from improving capital markets; the non-ferrous metals sector is also worth paying attention to after experiencing many adjustments. The fundamental recovery in the pure domestic demand industry is still progressing relatively slowly and requires further observation.