A-shares strengthen, ChiNext index rises over 1%! Micro-cap index rises over 2%, Beijing Stock Exchange 50 rises over 2%, nearly 4,300 stocks advance, computing power concept active, Dawning Information Technology hits 2-day limit up

February 28 | Major A-share indices strengthen, with the ChiNext Index rising over 1%, the Shanghai Composite up 0.22%, and the Shenzhen Component up 0.71%. Leading sectors include plant-based meat, weight loss drugs, securities, and state-owned enterprises, with nearly 4,300 stocks in Shanghai, Shenzhen, and Beijing rising.

Tonghuashun (300033) Micro Disk Index up over 2%, Beijing Securities 50 up over 2%.

A-shares brokerage stocks opened strong, with Western Securities (002673) hitting the daily limit for three out of four days, along with Chuangyun Cloud, Cinda Securities, Changjiang Securities (000783), Southwest Securities (600369), and Founder Securities (601901) following the gains.

A-shares gaming stocks also performed well, with Ciwun Media (002343) hitting the daily limit, and Zhongqingbao (300052), Huayi Brothers (300027), and Xunyou Technology (300467) rising over 5%. Other stocks such as Tianzhou Culture (300148), Kaiying Network (002517), Shifeng Culture (002862), and Caesar Culture (002425) also gained. On the news front, the National Press and Publication Administration released the February approval information for domestic online games on the 27th, with 111 games approved.

The AI computing concept in A-shares showed repeated activity, with Sugon (中科曙光) hitting two consecutive daily limits, and Rujian Shares (002929), Unigroup Ziguang (000938), Zhongqingbao, Cambrian (寒武纪), Zhongbei Communications (603220) rising over 5%. Zheshang Securities (601878) believes that generative AI is expected to bring a leap in social productivity, marking the start of the “Fourth Industrial Revolution.” The foundation of industrial development is abundant, low-cost computing power, making the vigorous development of domestic computing power in China imperative from this perspective.

Hydrogen energy sector was active early in the session, with Compton (603798), Hongtao Shares (002325), and Yinglite (000635) hitting the daily limit. Hanma Technology also reached the limit, while New Power (310328), Zhongtai Shares (300435), Shenghui Technology, and Houp Shares (300471) rose over 5%. According to the China Hydrogen Energy Alliance Research Institute, at the provincial two sessions early 2024, 22 out of 31 provincial-level administrative regions included hydrogen energy in their government work reports, with the number of provinces mentioning hydrogen energy increasing year by year.

Hong Kong tech stocks strengthened, with the Hang Seng Tech Index expanding its gains to over 1%.

(Edited by: Song Zheng HN002)