This weekend's key market-moving developments include: the launch of the nation's first full-stack green computing AI platform in Hohhot; a regulatory crackdown on cutthroat 'race-to-the-bottom' competition; the release of the 2026 National Medical Insurance Drug List adjustment plan; MiniMax initiating A-share listing guidance; Zhongji Innolight declaring the 'Optical Interconnection Forum' and its 'Chairman's Speech' as fabricated information; reports of SoftBank building Europe's largest computing cluster in France; Elon Musk refuting claims of a SpaceX IPO valuation cut; and NVIDIA's imminent entry into the personal computer sector.

**Macro and Market Highlights** Ding Xiangqun has been appointed as the Party Committee Secretary of the National Financial Regulatory Administration, as announced on the administration's website. The National Bureau of Statistics reported that the Manufacturing Purchasing Managers' Index (PMI) for May stood at 50.0%, down 0.3 percentage points from the previous month, indicating stable expansion at the threshold level. The non-manufacturing Business Activity Index rose to 50.1%, and the composite PMI output index increased to 50.5%.

In response to the European Commission's discussions on China relations, a spokesperson for the Ministry of Commerce stated that China and the EU are important, equal, and mutually beneficial economic and trade partners. China hopes the EU will adhere to WTO rules, uphold free trade and fair competition, and firmly oppose protectionism and unilateralism. China is closely monitoring relevant developments and will take necessary measures to safeguard its legitimate rights and interests.

The Ministry of Finance reported that from January to April, the total operating revenue of state-owned enterprises nationwide decreased by 0.5% year-on-year, while total profits increased by 1.9%. Tax payments rose by 3.9%, and the asset-liability ratio at the end of April was 65.5%, up 0.4 percentage points year-on-year.

**Industry Highlights** Four government departments jointly issued the "2026 Work Plan for Enhancing Public Digital Literacy and Skills," outlining key tasks including improving digital literacy cultivation systems, deepening digital application scenarios, enhancing public AI literacy, promoting inclusive digital development, fostering a secure cyberspace, and improving collaborative mechanisms.

The nation's first full-stack green computing AI platform officially commenced operations in the Hohhot area of the Inner Mongolia Pilot Free Trade Zone. This platform integrates computing power scheduling, intelligent model calls, and token transaction settlement, providing a one-stop AI service chain.

In the first quarter, China's integrated circuit exports reached $72.47 billion, a 77.5% year-on-year increase, with memory product exports surging 174.2% to $45.99 billion. A logistics company executive noted that related business orders have doubled this year, with a significant increase in large orders exceeding 100 million yuan per transaction. Industry experts attribute this growth to global supply-demand dynamics and structural upgrades within China's domestic memory industry chain.

Ahead of Children's Day, AI toy sales are booming globally, with China's AI toy market projected to exceed 100 billion yuan by 2030. In Yiwu, toy exports from January to April grew 11.6% year-on-year to 8.27 billion yuan.

China successfully launched a satellite internet technology test satellite from the Xichang Satellite Launch Center. The satellite is intended for testing mobile broadband direct satellite connectivity and integrated space-ground network technologies.

Five government departments jointly announced the "Regulations on Multi-Channel Distribution Services for Online Information Content," effective September 1, 2026. The regulations aim to standardize service development, protect rights, and foster a positive online environment.

The State Administration for Market Regulation has launched a nationwide campaign targeting inferior, low-priced products and 'race-to-the-bottom' competition in key sectors, utilizing price enforcement, quality supervision, and standard-setting measures.

The National Healthcare Security Administration released the 2026 adjustment plan for the National Medical Insurance Drug List, along with related guidelines and rules.

The return capsule of the Shenzhou-22 manned spacecraft successfully landed, with the Shenzhou-21 astronaut crew returning safely.

**Company Highlights** AI company MiniMax has signed a guidance agreement with CITIC Securities, formally initiating its A-share IPO process.

Zhongji Innolight issued a statement declaring that the 'Optical Interconnection Forum' and the circulated 'Speech by Zhongji Innolight's Chairman' are entirely fabricated false information. The company and its Chairman, Liu Sheng, have no knowledge of or involvement with the mentioned event or content.

China Jushi announced plans to increase capital in its subsidiary Jushi Huai'an by 800 million yuan to accelerate the construction of electronic-grade fiberglass projects.

Hongxiang Co., Ltd. and its actual controller, Yang Cheng, received a "Notice of Transfer for Prosecution" from the Xiamen Public Security Bureau regarding suspected securities fraud and illegal information disclosure cases.

Zhongfu Circuit announced a private placement plan to raise up to 850 million yuan for projects including the expansion of AI-use PCB production lines in Heshan and digital upgrades.

Dingjide and its actual controller, Zhang Zaiming, received formal investigation notices from the China Securities Regulatory Commission (CSRC) for suspected information disclosure violations.

*ST Tianyi received a formal investigation notice from the CSRC for suspected information disclosure violations.

Litong Electronics clarified in a risk warning announcement that, despite online discussions about 'token factory' and 'token sharing' concepts, the company currently has no specific implementation plans for token-sharing business.

Hengtong Optic-Electric announced plans to spin off its subsidiary Jiangsu Hengtong Huahai Technology Co., Ltd. for a separate listing on the Shanghai Stock Exchange's STAR Market.

China State Construction Engineering Corporation secured a 11.36 billion yuan highway project and, as part of a consortium with subsidiaries, won a 15.91 billion yuan highway concession project.

Zhongxin股份 announced that Canadian authorities issued final rulings on anti-dumping and countervailing duties for Chinese-origin thermoformed molded fiber tableware. Its anti-dumping rates are 111.0% and 120.5% for the company and its subsidiary, respectively. The company stated it has production solutions in Thailand and expects no material adverse impact on operations.

Founder Securities announced that its third-largest shareholder, China Cinda Asset Management, plans to reduce its stake by up to 1% within three months.

**Overseas Highlights** U.S. stock indices closed higher on Friday, setting new records. The Dow Jones rose 0.72%, the S&P 500 gained 0.22%, and the Nasdaq Composite increased 0.20%. AI server manufacturers led gains, with Dell surging nearly 33% for its largest single-day gain. Super Micro Computer rose over 11%, and Hewlett Packard Enterprise gained nearly 13%.

Reports indicate that SoftBank Group plans to invest approximately 75 billion euros (about 591.8 billion yuan) to build Europe's largest computing cluster in France. This follows discussions between SoftBank's Masayoshi Son and French President Emmanuel Macron.

Elon Musk firmly denied media reports that SpaceX had lowered its target valuation for an upcoming IPO from over $2 trillion to at least $1.8 trillion. He stated the report was inaccurate.

NVIDIA, alongside Microsoft and Arm, signaled a major push into the personal computer sector with the message "Together we start a new PC era." Reports suggest NVIDIA will launch a PC chip for Windows computers next week, with partners like Microsoft and Dell expected to release devices featuring the new chip. NVIDIA CEO Jensen Huang is scheduled to deliver a keynote at the upcoming COMPUTEX 2026 in Taipei.

The White House released a new physical examination report for former President Donald Trump, showing a weight gain of approximately 12.7 pounds over the past year but overall good health.

**New Developments in the Strait of Hormuz** U.S. Secretary of Defense Lloyd J. Austin III stated at the Shangri-La Dialogue in Singapore that the U.S. is seeking an agreement through negotiations with Iran but is prepared to resume military strikes if talks fail. This follows a meeting by former President Trump on the Iran situation.

Iran's Mehr News Agency reported that Iranian military authorities announced comprehensive management of shipping in the Strait of Hormuz, requiring all commercial vessels, oil tankers, and other civilian ships to follow designated routes and obtain prior permission from the Islamic Revolutionary Guard Corps Navy. The Iranian parliament is also reportedly set to approve a plan for exercising "sovereign jurisdiction" over the strait.

Exclusive audio provided to media from a merchant ship near the Strait of Hormuz captured radio warnings issued by both the Iranian Islamic Revolutionary Guard Corps Navy and a U.S. military aircraft to vessels in the area.