Fed keeps benchmark rate unchanged as expected, with two voting members favoring a 25 basis point hike. In the early hours of Thursday (October 29) Beijing time, the Federal Reserve announced it would keep the federal funds rate target range unchanged at 3.75% to 4%, in line with widespread market expectations. Last month, the Fed raised rates for the first time in more than three years, lifting the federal funds rate target range by 25 basis points to 3.75% to 4%. The decision passed by a vote of 10 to 2, with Governor Cook and Cleveland Fed President Hammack advocating for an additional 25 basis point hike. This also marked the first time Cook cast a dissenting vote on a monetary policy decision since joining the Fed's Board of Governors. Fed Chairman Warsh announced adjustments to the meeting mechanism at the post-meeting press conference, but he still did not provide any clear signal on the rate hike path that the market cares about most. JPMorgan Private Bank expects the Fed to raise rates in December and in the first quarter of 2027.

Market outlook: Nasdaq Golden Dragon China Index falls 1.83%. In overnight U.S. trading, as of the close, the Dow Jones Industrial Average rose 97.53 points to 52,475.1, up 0.19%; the S&P 500 rose 21.38 points to 7,743.98, up 0.28%; the Nasdaq Composite rose 72.04 points to 26,549.85, up 0.27%. The "Magnificent Seven" tech giants were mixed, with Google-A up 1.34%, Nvidia down 1.17%, and Meta down 1.24%. Microsoft rose as much as 6% after hours. Memory chip and optical communication sectors extended their gains, rising for a third consecutive trading session. Among individual stocks, SK Hynix surged 13.30%, Micron Technology rose 5.86%, SanDisk gained 7.66%, AI cloud service companies strengthened, Oracle jumped over 10%, CoreWeave rose more than 7%, and Nebius gained nearly 7%. The Nasdaq Golden Dragon China Index fell 1.83% to 5,400.39 points, with weighted stocks mixed and declines concentrated in small and mid-cap names. The Hang Seng Index ADR declined, calculated proportionally to close at 23,090.46 points, down 4.37 points or 0.02% from the Hong Kong close. On the New York Mercantile Exchange, the front-month WTI crude oil futures contract rose $2.04 to $101.94 per barrel, up 2.04%. COMEX front-month gold futures rose $6.60, or 0.16%, to $4,081.2 per ounce.

Key developments ahead: Alphabet (GOOGL.US) Q3 cloud revenue surges 103% year-on-year, free cash flow turns negative, shares plummet over 11% after hours. According to Zhitong Finance APP, after the U.S. market close on Wednesday, Google parent Alphabet (GOOGL.US, GOOG.US) released its third quarter 2026 financial results. Following the earnings release, Google shares plunged more than 11% after hours. Data showed net income attributable to common shareholders was $26.17 billion, down about 25% year-on-year; diluted earnings per share were $2.12, below $2.87 in the same period last year, down about 26% year-on-year. In terms of cash flow, Alphabet's third quarter operating cash flow was $42.29 billion, below $48.414 billion in the same period last year. PetroChina (00857) reported first three quarters net profit attributable to shareholders of RMB 155.776 billion, up 21.9% year-on-year. PetroChina (00857) announced that for the first three quarters of 2026, under International Financial Reporting Standards, the group achieved operating revenue of RMB 2,321.064 billion, up 7.0% year-on-year; net profit attributable to shareholders of the parent company was RMB 155.776 billion, up 21.9% year-on-year. Basic earnings per share were RMB 0.85. Sinopec Oilfield Service (01033) reported first three quarters net profit attributable to shareholders of approximately RMB 711 million, up 6.2% year-on-year. In the first three quarters of 2026, the company continued to enhance its engineering technology service capabilities, strengthened win-win cooperation with oil companies, and steadily advanced market development, with cumulative new contract signings of RMB 83.95 billion, up 2.1% year-on-year. Junshi Biosciences (01877): Toripalimab for the treatment of locally advanced or metastatic urothelial carcinoma that has failed platinum-containing chemotherapy receives regular approval from the National Medical Products Administration. Junshi Biosciences (01877) announced that recently the company received a "Drug Supplementary Application Approval Notice" issued by the National Medical Products Administration (hereinafter referred to as the "NMPA"), approving toripalimab injection (trade name: Tuoyi®, product code: JS001) as a monotherapy for the indication of locally advanced or metastatic urothelial carcinoma that has failed platinum-containing chemotherapy, including progression within 12 months of neoadjuvant or adjuvant chemotherapy, transitioning from conditional approval to regular approval. Guolian Minsheng (01456) reported first three quarters net profit attributable to shareholders of approximately RMB 2.108 billion, up 19.59% year-on-year. Guolian Minsheng (01456) announced its first three quarters 2026 results, with operating revenue of approximately RMB 6.739 billion, up 11.61% year-on-year; net profit attributable to shareholders of the listed company of approximately RMB 2.108 billion, up 19.59% year-on-year; basic earnings per share of RMB 0.37. OmniVision Group (00501) expects fourth quarter operating revenue of RMB 7.759 billion to RMB 8.324 billion, up 9.71% to 17.71% year-on-year. Benefiting from the global automotive intelligence industry upgrade, the company maintained rapid growth in the intelligent driving sector; professional imaging, machine vision and robotics, edge AI and other emerging market applications continued to innovate, with new products such as automotive analog chips and optical communication high-speed analog electrical chips achieving mass production introduction. In the fourth quarter of 2026, the company expects its automotive business to continue recovering, emerging markets and analog automotive and optoelectronic businesses to maintain growth, and the company's operating revenue is expected to achieve orderly growth, with gross margin expected to improve steadily. Jiangxi Copper (00358) reported first three quarters net profit attributable to shareholders of RMB 11.687 billion, up 94.02% year-on-year. Jiangxi Copper (00358) announced that for the first three quarters of 2026, operating revenue was RMB 442.42 billion (the same unit below), up 11.71% year-on-year; net profit attributable to shareholders of the listed company was RMB 11.687 billion, up 94.02% year-on-year; basic earnings per share of RMB 3.39. Anjoy Foods (02648) reported first three quarters net profit attributable to shareholders of RMB 1.142 billion, up 20.27% year-on-year. In the 2026 third quarter report, non-GAAP net profit attributable to shareholders was RMB 1.05 billion, up 21.1% year-on-year; net operating cash flow was RMB 1.746 billion, up 63.2% year-on-year; EPS (fully diluted) was RMB 3.4253. Xinqi Micro Equipment (09630) reported first three quarters net profit attributable to shareholders of approximately RMB 461 million, up approximately 1.32 times year-on-year. Xinqi Micro Equipment (09630) announced its first three quarters 2026 results, with operating revenue of approximately RMB 1.781 billion, up 90.84% year-on-year; net profit attributable to shareholders of the listed company of approximately RMB 461 million, up approximately 1.32 times year-on-year; basic earnings per share of RMB 3.39. CGN Power (01816) reported first three quarters net profit attributable to shareholders of approximately RMB 9.603 billion, up 12.75% year-on-year. The announcement stated that the main reason for the performance growth was: Huizhou Unit 1 and Unit 2 and Cangnan Unit 1 were put into commercial operation in 2026. COSCO Shipping Energy (01138.HK) reported first three quarters net profit attributable to shareholders of approximately RMB 7.389 billion, up 171.9% year-on-year. According to Zhitong Finance APP, COSCO Shipping Energy (01138.HK) announced its first three quarters 2026 results, with revenue of approximately RMB 25.243 billion, up 47.03% year-on-year; net profit attributable to shareholders of the listed company of approximately RMB 7.389 billion, up 171.9% year-on-year; basic earnings per share of RMB 1.3514. New Oriental-S (09901) released first quarter results, with net profit attributable to shareholders of $273 million, up 13.5% year-on-year. New Oriental-S (09901) released its first quarter results for the period ended August 31, 2026, with net revenue of $1.874 billion, up 23.1% year-on-year; net profit attributable to New Oriental shareholders of $273 million, up 13.5% year-on-year; basic net profit per ADS of $1.76. Sanhuan Group (06951) reported first three quarters net profit attributable to shareholders of approximately RMB 3.865 billion, up 97.35% year-on-year. During the reporting period, benefiting from improved customer recognition and industry prosperity, the company's product market demand grew, orders were full, some main products saw both volume and price increases, and operating revenue grew significantly year-on-year. Note: The company's Q3 net profit was RMB 1.933 billion, Q2 net profit was RMB 1.141 billion, and based on this calculation, Q3 net profit grew 69% quarter-on-quarter. Joinn Laboratories (06127) reported first three quarters net profit attributable to shareholders of approximately RMB 930 million, up approximately 10.52 times year-on-year. The performance change was mainly due to the recovery in industry demand, gradually improving revenue, and the dual impact of increased gross profit and gains from changes in fair value of biological assets.

Stock spotlight: Shanghai Fudan (01385) reported first three quarters net profit attributable to shareholders of RMB 1.06 billion, up 221.08% year-on-year. The company's third quarter operating revenue was RMB 1.338 billion, up 12.90% year-on-year; net profit attributable to shareholders of the listed company was RMB 211 million, up 54.63% year-on-year. First three quarters operating revenue was RMB 3.564 billion, up 17.84% year-on-year; net profit attributable to shareholders of the listed company was RMB 1.060 billion, up 221.08% year-on-year. During this period, the company's sales and gross profit across product lines grew, gains from changes in fair value of listed company shares held through strategic placement increased, and inventory write-down losses fell significantly, resulting in increased overall profitability. Shanghai Fudan (01385.HK) released an insider information announcement that shareholder Fuxin Fangao, which holds more than 5% of the company, transferred 106.73 million A-shares it directly held to Guosheng Investment through agreement transfer, with a transfer price of RMB 5.138 billion. This equity change will not cause a change in the company's controlling shareholder or actual controller, and the company will remain in a state of no controlling shareholder and no actual controller. Everbright Securities released a research report stating that considering the accelerated domestic substitution of FPGA chips and the accelerated development of the commercial aerospace and low-orbit satellite industry chains, the company's high-end FPGA and satellite communication-related products are expected to continue benefiting.