AI Sector Drives Market Dynamics Amid Geopolitical Easing

Last week, the market exhibited significant structural divergence, continuing a trend observed for over a month, primarily driven by the sustained momentum in the AI sector. According to Jin10, certain industry chains experienced catalysts, while expectations of the listing of two major domestic storage giants boosted related companies' performance. Since May, financing scale has rapidly increased, with growth second only to August of last year, and last week's balance nearly reached 2.9 trillion yuan (2.9万亿元). The electronics and communications sectors saw net financing purchases exceeding 100 billion yuan (千亿元), leading to potential extreme trading and subsequent volatility. This volatility is seen as a release of risk rather than accumulation. When market risk appetite is low, funds tend to focus on high-momentum areas. Considering the easing of overseas geopolitical tensions, market opportunities are expected to expand from a few core areas to more technology sectors. However, some large-cap non-tech stocks may still face pressure from potential market overheating. From a micro perspective, AI remains the most vibrant asset, boosting the semiconductor sector and upstream component materials. Other sectors, including energy storage, machinery, and certain chemical sub-sectors, also show promising demand.