During the Dragon Boat Festival holiday that just passed, the domestic capital market received a shot in the arm.
Eight departments including the Ministry of Commerce jointly issued the “Implementation Opinions on Accelerating the Development of “Artificial Intelligence + Consumption” (hereinafter referred to as the “Opinions”), which vigorously proposed 17 specific measures in five major aspects, including improving artificial intelligence + commodity consumption and expanding artificial intelligence + service consumption.
The issuance of this blockbuster document not only marks the comprehensive deepening of the national action of “artificial intelligence entering thousands of households and thousands of stores”, but also points out the core thread of capital flow and industrial explosion for the A-share market at the macro level.
Combined with the current significant easing of external geopolitical risks, we have every reason to believe that tomorrow’s A-share market will be stable, and this will be another day when the hard technology sector will rise at full speed and technology upstarts will shine in the market.
First of all, from an in-depth analysis from the policy perspective, the release of the “Opinions” is by no means a simple industry initiative, but a charge for artificial intelligence to move from “cloud” to “terminal” and from “industrial level” to “consumer level”.
The “Opinions” clearly stated that it is necessary to accelerate the launch of a new generation of smart home products, strengthen the research and development and promotion of new products such as artificial intelligence glasses, and accelerate the application demonstration of new terminals such as elderly care robots, companion robots, and artificial intelligence life assistants.
This means that the popularization of artificial intelligence is currently only in the “first step of a long journey of thousands of miles.”
Since the country is determined to deeply integrate AI technology into various industries such as home furnishing, elderly care, cultural tourism, and catering, the supporting underlying hardware infrastructure will surely usher in large-scale, long-term industrial construction.
This logic of forcing the supply side from the demand side will directly detonate the entire hard technology industry chain.
Under the grand narrative of “artificial intelligence + consumption”, optical modules, chips, storage, semiconductor equipment and materials, large models and related AI application directions, which were already on the upward channel, will not only not peak, but will usher in a broader room for growth.
Take AI terminals and intelligent robots as examples, which require massive computing power support, high-speed data transmission, and sophisticated electronic components.
Therefore, whether it is chips and storage as the basis of computing power, optical communications as the data highway, or semiconductor equipment and materials as core components, the demand ceiling has been completely opened.
At present, the stock prices of these core tracks still have a lot of room for growth, and there is no ceiling in sight.
Secondly, from the perspective of market sentiment and external environment, the external risk factors that suppress the valuation of technology stocks have been basically eliminated, paving the way for tomorrow’s full-speed rise.
Based on the latest geopolitical news from many parties, representatives from the three parties including the Iranian negotiating delegation, US Vice President Vance, and the Prime Minister of Pakistan have arrived in Switzerland and are preparing to start technical negotiations, and the US delegation is on its way to Birgen Mountain.
This major diplomatic progress means that global geopolitical uncertainty has significantly cooled down.
For the highly sensitive global capital market, the easing of geopolitical risks will directly prompt safe haven funds to flow back into the high-growth and highly elastic technology growth track.
The relief of external pressure, coupled with the strong support of domestic policies, formed a perfect “internal and external resonance” and completely dispelled the market’s wait-and-see mood.
Looking back at the recent market performance, the hard technology track has demonstrated its strong ability to attract money and its leading temperament.
Under the continuous catalysis of top-level policies such as the Lujiazui Forum, detailed rules for the reform of the Science and Technology Innovation Board have been implemented, the listing threshold for hard-core technology companies such as AI large models and humanoid robots has been relaxed, and trillions of long-term funds are accelerating to enter the market.
At the same time, the industry has also received substantial benefits: the surge in AI server shipments has directly boosted demand for high-end PCBs and optical modules; overseas major manufacturers have locked in production capacity, and the gap between HBM high-end storage supply and demand continues to expand; high-end MLCC has entered a super price increase cycle.
The hard-core support of these industry fundamentals forms a perfect closed loop with the policy guidance in promoting the implementation of AI consumption in the “Opinions”.
What is even more exciting is that the “aesthetics” of the A-share market have undergone a historic shift.
As of recently, the number of technology stocks among the top ten A-share market capitalization stocks has increased significantly, and the market value of the leading optical module company has even historically surpassed that of the traditional liquor leader.
This is not only a victory for a single stock, but also a microcosm of the industrial changes of the entire era.
Foreign investment institutions are intensively investigating technology tracks such as semiconductors and electronic equipment, and trillion-level passive index funds will also passively buy leaders in computing power and optical communications along with the adjustment of MSCI and other indices.
Driven by the joint efforts of domestic and foreign capital, the hard technology sector has broken away from short-term theme hype and entered a long-term bull channel driven by both performance realization and industry trends.
To sum up, the 17 initiatives jointly issued by eight departments draw a clear blueprint for “artificial intelligence + consumption”, and the smooth advancement of external geopolitical negotiations has completely cleared away external obstacles.
Under the four resonances of policy dividends, industrial explosion, capital inflows, and external benefits, the bottom support of the A-share market is as solid as a rock.
Tomorrow, with the ringing of the opening bell, the pent-up long enthusiasm will surely be fully released.
Hard technology directions such as optical modules, chips, storage, semiconductor equipment and materials will once again become the brightest stars in the audience.
This is not only a short-term emotional rebound, but also a great starting point for the technology upstarts to lead A-shares to a new round of long-term growth.
Tomorrow’s A-shares are stable, let us witness the glorious moment when hard technology is rising at full speed!
