Pre-Market News Highlights

1. 6G Development Accelerates! Ministry of Industry and Information Technology Issues Major Announcement, Industry Acceleration Window Arrives

Type: Sector Sentiment

Impact: Positive

On June 4th, the Ministry of Industry and Information Technology released a notification regarding the organization of a 6G innovation development pilot program coordinated between ministries and provinces. It mentioned that by 2029, a batch of independently innovative 6G technology solutions should be formed, and the cultivation of 6G-related industries such as new terminals, chip components, and commercial aerospace should be strengthened. In terms of opportunities, Galaxy Securities suggests focusing on: the three major telecom operators; relevant targets among main equipment manufacturers; targets related to integrated space-air-ground networks and satellite internet; and targets in optical communications.

2. SpaceX IPO Roadshow Underway! Expected Share Price Set at $135, US Space Concept Stocks Broadly Rise

Type: Sector Sentiment

Impact: Positive

Space Exploration Technologies Corp has initiated its IPO roadshow, planning to issue 555.6 million shares. Retail investors will be able to participate at the same price as large institutions, with SpaceX's share price expected to be $135. Based on a fundraising target of $75 billion, this IPO would set a global record for fundraising size. It is reported that Goldman Sachs expects SpaceX's AI-related revenue to surge 100-fold by 2030. US space concept stocks rose broadly, with the "SpaceX concept fund" Destiny Tech100 Inc surging over 7%.

3. Central Bank Conducts 500 Billion Yuan Outright Reverse Repo to Guide Key Market Rates Back to Reasonable Levels

Type: Macro Sentiment

Impact: Positive

The central bank announced that on June 5th, it will conduct 500 billion yuan in outright reverse repo operations. Data shows that 800 billion yuan in 3-month outright reverse repos are maturing this month, meaning a net reduction of 300 billion yuan for the month. This marks the fourth consecutive month the central bank has scaled back its 3-month outright reverse repo operations. Analysts noted that the further reduction in 3-month reverse repos is part of the current adjustment of open market policy tools, aimed at preventing market rates from excessively deviating downward from policy rates through supply-side regulation.

4. Major A-Share Development! Stock Exchanges Issue Latest Notice, Comprehensive Rectification for Brokerage Trading Unit Management

Type: Market Sentiment

Impact: Positive

It is reported that the Shanghai Stock Exchange has issued a notice to brokerages, clarifying that they must immediately initiate a comprehensive self-inspection of trading units, and any existing non-compliant configurations must be rectified within 3 months. The exchange requires a strict prohibition on providing special conveniences to individual investors. Brokerage analysts interpret this move as primarily targeting quantitative clients, aiming to not grant independent trading channels and reduce trading unfairness. Theoretically, it seeks to level the playing field for proprietary trading units, retail investor trading units, and high-frequency quantitative trading units, preventing retail investors from suffering a speed disadvantage.

Investment Calendar

Huawei Cloud Creator Conference

Investment Nugget

Risk comes from not knowing what you're doing. - [US] Warren Buffett

Institutional Views

1. Orient Securities: The market continues to exhibit characteristics of index volatility, sector divergence, and technology leading the gains, which is unlikely to change significantly in the short term.

2. Guotai Haitong: Expects the A-share market to present a volatile pattern, with technology remaining the main theme. Attention should be paid to potential diffusion from high to low valuations.

3. Founder Securities: The characteristics of a structural market are evident. On the allocation side, focus should be on two major directions: new quality productive forces and high-quality large-cap leaders.

Favorable and Unfavorable Outlook

1. NVIDIA Launches World's First Full-Modal Physical AI Model, Broad Market Prospects

Type: Market Hot Topic

Zheshang Securities: The core of Physical AI lies in enabling models to understand the real world and predict its state, serving as the link between the virtual and real worlds. Autonomous driving, industrial software, and embodied intelligence constitute the core application scenarios for Physical AI.

2. Huawei Leads China's Foldable Smartphone Market; Apple's Worldwide Developers Conference Approaches

Type: Market Hot Topic

Caixin Securities: From a cost perspective, the BOM cost of foldable smartphones is nearly 70% higher than non-foldable models, with the screen and hinge constituting the core cost increments. AI empowerment is reshaping the value ceiling of foldable phones, while tri-fold products continue to expand the form factor boundaries of foldables.

3. Low End-User Inventory Coupled with Release of Rigid Demand Drives Price Increases for Multiple Tungsten Metal Products

Type: Institutional Hot Commentary

Everbright Securities: The tungsten price center is expected to remain high during 2026-2027, with strong earnings certainty for upstream tungsten mining enterprises. Domestic supply-demand gap persists, while overseas supply increments are limited. On the demand side, cemented carbide benefits from machine tool renewal; photovoltaic tungsten wire demand recovers with the rebound in silicon materials.

Announcement Express

Positively Biased Announcements

1. China Energy Engineering Group: Signs $1.687 Billion EPC Contract for Gas-Fired Combined Cycle Power Station

2. BOE Technology Group: Industry's 8.6th Generation OLED Production Lines to Commence Mass Production Successively Starting 2026

3. MGI Tech: Controlling Shareholder Proposes Company Repurchase Shares Worth 250-500 Million Yuan

Negatively Biased Announcements

1. *ST Shenwu Energy Saving: 5.1% of Company Shares Held by Shenwu Group to be Judicially Auctioned

2. Shuyu Civilian: Shareholder Plans to Reduce Holdings by No More Than 3%

3. Dongcai Technology: During Stock Price Abnormal Fluctuation Period, Senior Executives Li Wenquan and Liang Qianqian Engaged in Selling Company Shares

Overseas Markets

US stock indices closed mixed on Thursday Eastern Time, with the Dow Jones rising 1.73% to a record high and the Nasdaq falling 0.09%. Semiconductor sector performance was mixed, with Broadcom plunging over 12% and Micron Technology falling nearly 8%. The Nasdaq Golden Dragon China Index closed down 0.6%, with Century Internet down 6% and Li Auto falling nearly 3%.