A-share review | GEM index fell 1.62% and fell to 2,700 points, data elements bucked the trend and were active
The Zhitong Finance App learned that on October 21, the three major A-share indices collectively opened higher and then retreated, fluctuating and falling in the afternoon. The GEM index fell below 2,700 points, hitting a new low since August 25, 2025. By the close, the Shanghai Stock Exchange Index fell 0.60% to 3713.03 points, the Shenzhen Stock Exchange Index fell 0.82% to 11704.35 points, the GEM index fell 1.62% to 2694.71 points, Science and Innovation 50 rose 0.06% to 1343.28 points, and the Beijing Stock Exchange 50 fell 0.72% to 975.78 points. The turnover of the Shanghai and Shenzhen markets was 1429.344 billion yuan, down 26.768 billion yuan from the previous trading day. A-shares in the Shanghai and Shenzhen markets rose in 1981, fell by 3,364, and traded flat. Of these, 50 stocks rose or stopped, and 5 fell to a standstill, accounting for about 35% of the rising stocks.
In terms of sectors, aquaculture, television broadcasting, fishing, publishing, IT services, and components registered the highest gains; batteries, coal mining, liquor, energy metals, games, and securities registered the highest declines.
driving factors
On October 20, China Data Group Co., Ltd. was inaugurated in Hebei's Xiong'an New Area. The State Council's State-owned Assets Administration Commission announced the establishment of the group with the approval of the State Council and ranked 28th in the list of central enterprises. The number of central enterprises supervised by the State Assets Administration Commission increased from 99 to 100. Today, the IT services, television broadcasting, and publishing sectors rose 1.69%, 2.47%, and 1.81% respectively.
According to data from the National Bureau of Statistics, the number of breeding sows nationwide was 3.62 million at the end of the third quarter, down 1.78 million from month to month (down 4.7%). The decline was significantly larger than 1.4% in the first quarter and 3.2% in the second quarter. The breeding sector ranked first in Shenwan's secondary industry with an increase of 2.97%.
On the evening of October 20, Ningde Times disclosed its three-quarter report. Net profit for the third quarter was 21.246 billion yuan, up 14.54% year on year, down 5.77% month on month. Citibank lowered its target price of A shares from 500 yuan to 479 yuan, and J.P. Morgan downgraded the H share rating to “neutral”. The stock closed down 12.03% on the same day, the battery sector fell 7.56%, and the power equipment industry fell 3.67%, all of which were the sectors with the biggest decline in each level of the day.
Volcano Engine launched the Seedance Premium AI Drama Incentive Program on October 19. AI comics launched on the Hongguo Short Drama App will be given an incentive of 50,000 to 200,000 yuan for a single edition based on the monthly ranking of Hongguo's popularity value. The direction of AI comics rebounded on the same day.
In peripheral markets, Korea's KOSPI index closed up 3.29%, SK Hynix rose 5.8%, Samsung Electronics rose 5.67%, Nikkei 225 index rose 0.85%, the A-share electronics sector rose 0.79%, and the semiconductor sector rose 0.29%.
Popular sector aspects
1. Data elements: The National Data Group landed in Xiong'an, and the sector bucked the trend and strengthened. Nanwei Software and Starlight Co., Ltd. both left the 3rd board in 4 days. Massive Data and Taiji shares rose and stopped, and 3D World 20CM rose and stopped. In terms of catalysis, National Data Group Co., Ltd. was established in Hebei Xiong'an New Area on October 20. Its main business is the development and utilization of data resources, filling the gap between state-owned entities in the data field.
2. Breeding industry: It can breed sows and speed up degeneration, and the sector's growth rate is the highest in Shenwan's second-level industry. Dongrui shares rose or stopped; Tiankang Biotech rose 5.87%, Shennong Group rose 5.65%, and Superstar Agriculture and Animal Husbandry rose 5.03%. On the catalytic side, data from the National Bureau of Statistics shows that pig storage fell 2.6% year on year at the end of the third quarter, turning negative for the first time since 2025. It was able to breed 3.62 million sows, down 4.7% month-on-month, and the decline was higher than in the first quarter and the second quarter.
3. AI comic: The Volcano Engine incentive plan was implemented, and the concept rebounded. Guangdong Media Group went up and down for 2 consecutive days, and Cultural Investment Holdings went up and down. In terms of catalysis, Volcano Engine launched the Seedance Premium AI Drama Incentive Program on October 19. Eligible works are ranked in three levels according to the monthly popularity value of red fruits, and a single copy can receive up to 200,000 yuan in incentives. The media sector was partially segmented during the day. The digital media sector rose slightly by 0.49%, while the film, television, and gaming sectors declined by 0.04% and 1.59% respectively.
Adjust the section
The battery sector fell 7.56%, the biggest decline in Shenwan's second-tier industry on the same day. Ningde Times reported a 12.03% drop of 227.90 yuan, down more than 50% from the historical high on May 7, 2026. Times Wanheng and Shanghai Shiba fell to a halt, Azure Lithium Cell fell 9.25%, Zizhu Hi-Tech fell 9.03%, Pilot Intelligence fell 9.00%, and the power equipment industry ranked the last in Shenwan's first-level industry; the corresponding verifiable news showed that the net profit for the third quarter fell 5.77% and 5.77% month-on-month in the three-quarter report disclosed by Ningde Times on the evening of October 20 Citi downgraded its A shares Target price and J.P. Morgan downgraded its H-share rating. The coal mining and liquor sectors fell 2.00% and 1.88% respectively, while Mountain Coal International fell 2.65%, Shanxi Fenjiu fell 5.73%, and Gujing Gongjiu fell 3.59%. The securities sector fell 1.09%, Jinlong shares fell to a halt, and Xiangcai shares fell 3.42%.