**Top Headlines** The People's Bank of China (PBOC) has reaffirmed its commitment to a moderately accommodative monetary policy, indicating that there is still room for reserve requirement ratio (RRR) cuts and interest rate reductions. On February 10, the PBOC released its Monetary Policy Execution Report for the Fourth Quarter of 2025, outlining the financial regulatory framework for the past year and setting the tone for future policy direction. The report highlights that the moderately accommodative monetary policy effectively supported stable economic growth with progress amid complex domestic and international conditions, ensuring reasonable growth in financial aggregates, a significant decline in financing costs, and targeted support for key sectors. Going forward, the central bank will continue to implement a moderately accommodative monetary policy, emphasizing counter-cyclical and cross-cyclical adjustments, while flexibly and efficiently utilizing various policy tools, including RRR cuts and interest rate reductions, to maintain ample liquidity and relatively loose social financing conditions.
According to the report, the moderately accommodative monetary policy in 2025 effectively supported the achievement of economic growth targets. In terms of financial aggregates, the year-end outstanding social financing and the broad money supply (M2) grew by 8.3% and 8.5% year-on-year, respectively, consistently exceeding the nominal economic growth rate and providing strong support for the real economy. Price regulation achieved significant results, with the interest rates for newly issued corporate loans and individual housing loans remaining at low levels of around 3.1% in December 2025, while overall social financing costs steadily declined.
Prominent individual investors Ge Weidong and Fang Wenyan have made a rare simultaneous move, each investing approximately 1 billion yuan to participate in the private placement of Jianghuai Automobile. On the evening of February 10, Jianghuai Automobile disclosed its private placement report, announcing the issuance of 70.1684 million shares to eight specific investors, including Yao Zhichao, Ge Weidong, and Fang Wenyan, at a price of 49.88 yuan per share, raising a total of about 3.5 billion yuan. Among them, Ge Weidong and Fang Wenyan each subscribed for 20.0481 million shares, investing about 1 billion yuan each, making them the largest subscribers in this issuance. According to the relevant capital verification report, the lead underwriter, Guoyuan Securities, has received the subscription funds from the investors. Wind data shows that as of the close on February 10, Jianghuai Automobile's stock price was 54.61 yuan per share, with a latest market capitalization of 119.3 billion yuan.
Incremental funds continue to flow into the market, with the number of billion-yuan-scale private equity firms reaching a new high. By the end of January, the number of domestic private equity firms with assets under management exceeding 10 billion yuan reached 122, a record high, an increase of 10 from the 112 at the end of December 2025. Specifically, eight private equity firms entered the billion-yuan league for the first time in January, including Guoyuan Xinda, Hengyi Chiying (Shenzhen) Private Equity, Beiyang Quantitative, Tengsheng Investment, Yao Jinghe Private Equity, Taikang Wenxing (Wuhan) Private Equity, Sichuan Development Securities Investment, and Hongxi Fund. At the same time, five managers, including Luoshu Investment, Suijiu Private Equity, Zhanhong Investment, Xitai Investment, and Shenyi Investment, returned to the billion-yuan tier, while three private equity firms temporarily dropped out.
Notably, insurance capital-backed private equity firms and foreign-funded private equity firms are increasing in the top tier. For example, last year, Ping An of China stated that its subsidiary, Ping An Asset Management, received approval to establish Hengyi Chiying (Shenzhen) Private Equity Fund Management Co., Ltd., with an initial fund size of 30 billion yuan. Tengsheng Investment is the wholly-owned subsidiary of Two Sigma in China, with its management scale exceeding 5 billion yuan in 2022 and breaking through 10 billion yuan in January this year, marking another foreign-funded private equity firm entering the billion-yuan league after Bridgewater (China).
The trillion-yuan track of low-altitude economy has received another policy boost, presenting opportunities for related enterprises. Five departments have set a target for ground mobile communication network coverage of low-altitude public routes to reach no less than 90% by 2027. On February 10, the General Offices of the Ministry of Industry and Information Technology and four other departments released the "Implementation Opinions on Strengthening the Capacity Building of the Information and Communication Industry to Support the Development of Low-Altitude Infrastructure." The document points out that low-altitude infrastructure is a critical foundation for the development of the low-altitude economy. The information and communication industry, with its abundant network resources and comprehensive information service capabilities, can effectively support the construction and development of information-based infrastructure such as low-altitude communication, surveillance, navigation, and intelligent networking systems, which is of great significance for promoting the healthy and orderly development of the low-altitude economy and cultivating new productive forces.
The document specifies that by 2027, the ground mobile communication network coverage of national low-altitude public routes should reach no less than 90%, with further maturation of diversified integrated sensing solutions and continuous improvement in low-altitude navigation services. Additionally, no fewer than 10 standards for information-based infrastructure will be developed, and a batch of typical low-altitude application scenarios will be formed in areas such as urban governance, logistics transportation, and cultural tourism. According to predictions from the Civil Aviation Administration of China, China's low-altitude economy reached a market size of 1.5 trillion yuan in 2025, a significant increase from the previous year, with nearly 20,000 drone operating companies and annual orders for eVTOLs (electric vertical take-off and landing aircraft) exceeding 30 billion yuan.
Popular media stocks have been simultaneously sold off by institutions and foreign capital. Northbound funds recorded net sales of 14 stocks, with Chinese Online experiencing the largest net sell-off of 296 million yuan. Wanxiang Qianchao and GCL System Integration both saw net sell-offs exceeding 150 million yuan.
New developments in local debt resolution: Multiple regions have completed the clearance of hidden debts, with accelerated debt repayment and "platform exit" expected this year. In 2025, local government debt risks in China further收敛, with average interest costs reduced by more than 2.5 percentage points after debt swaps. According to incomplete statistics, since the beginning of 2026, at least 34 cities nationwide have announced the latest progress in hidden debt clearance tasks, with regions such as Siping City and Songyuan City in Jilin Province, and Shuangyashan City in Heilongjiang Province announcing the achievement of hidden debt clearance last year.
"As state-owned enterprise reforms deepen and requirements for debt risk prevention intensify, many regions are urging more迫切 for urban investment companies to exit platforms. Hidden debts in an increasing number of areas will be cleared ahead of schedule, and the resolution of hidden debts is nearing completion," said Zhou Lijun, Executive Director of the Public Utilities Department at Oriental Rongcheng, to a Securities Times reporter.
A rare move by a tech giant stirs the market, targeting AI dominance. Google's parent company, Alphabet, is making another move in its quest for AI supremacy. According to the latest news, the tech giant plans to issue an extremely rare century bond. This marks the first time since the late 1990s that a technology company has issued such ultra-long-term bonds.
Currently, Alphabet is raising funds for an unprecedented spending plan behind its AI ambitions. On Monday, Alphabet conducted its largest-ever dollar bond issuance, raising $20 billion, exceeding the initial expectation of $15 billion. Last week, Alphabet stated that its capital expenditures this year would reach as high as $185 billion.
Accelerating the promotion and application of artificial intelligence in the bidding sector! Eight departments have spoken. On February 10, the National Development and Reform Commission and seven other departments released the "Implementation Opinions on Accelerating the Promotion and Application of Artificial Intelligence in the Bidding Sector," proposing to actively and steadily promote the application of AI in bidding around the entire bidding process and key management links.
The opinions mainly include overall goals, accelerating scenario applications, standardizing deployment and implementation, and strengthening organizational guarantees. In terms of overall goals, work targets are set for the end of 2026 and the end of 2027. Regarding accelerating scenario applications, 20 key scenarios are proposed around the entire bidding process and key management links. Issues that have long plagued the bidding market, such as whether there are "tailor-made" specifications in the bidding process or hidden collusion among bidding enterprises, are being addressed by artificial intelligence.
The opinions require that by the end of 2026, key scenarios such as bid document detection, intelligent assisted bid evaluation, and collusion identification achieve full coverage in some provinces and cities. By the end of 2027, more key scenarios will be promoted and applied nationwide, forming a batch of experience in model training, scenario application, and mechanism保障, effectively promoting the standardized and healthy development of the bidding market.
A surge of 300%! The high-flying stock resumes trading on Wednesday, facing potential强制 delisting for major violations? On February 10, *ST Lifang (300344) announced that during the trading suspension period, the company conducted verifications regarding its stock price fluctuations. As the relevant self-inspection work has been completed, upon application, the company's stock will resume trading on February 11 (Wednesday).
*ST Lifang warned that currently, its stock price has severely deviated from the company's fundamentals, posing risks of overheated market sentiment and irrational speculation. There may be risks of a rapid decline in the stock price in the future.
Year-to-date bond issuance by securities firms nears 380 billion yuan, a increase of over four times year-on-year. Entering 2026, securities firms' enthusiasm for bond issuance continues unabated. According to Wind data statistics, since the beginning of the year, the total domestic bond issuance by securities firms has reached 379.64 billion yuan, an increase of over 400% compared to 75.7 billion yuan in the same period last year.
Industry insiders point out that ample market liquidity and overall low interest rates provide securities firms with an excellent window for low-cost financing. It is expected that under the low-interest-rate environment, the热度 of bond issuance by securities firms will continue in 2026.
Selling 8 kilograms of gold bars in one go! Gold prices fluctuate at high levels, with frequent large-scale套现. After剧烈 fluctuations in gold prices, investor sentiment is quietly changing. The phenomenon of active buying and selling has reappeared in the gold market, but the investment focus has shifted to "risk prevention." Although February 10 was a workday, the flagship store of Caibai Jewelry in Beijing was still crowded. Amid high and fluctuating gold prices, large-scale套现 is frequent, attracting attention with one woman selling 8 kilograms of gold bars in one transaction. Some investors, seeing gold prices stabilize, are also actively entering the market. While there are不少 buyers purchasing several kilograms of gold bars at once, small-denomination gold bars remain the favorite for most gold buyers.
**Featured Companies** Suddenly! Collective store closures exposed, stock price plunges over 28%! Well-known listed company responds. On the evening of February 10, Shanghai Xiao Nan Guo announced that ten of its restaurants have temporarily suspended operations as part of the group's strategic restructuring. The company is currently processing refunds for customers, ensuring that all deposits and prepaid cards are properly returned.
Shanghai Xiao Nan Guo, established in 1987, once became a "symbol of Shanghai hospitality" with its refined local cuisine. However, recently, the brand was suddenly reported to have "all stores closed." Media reports indicated that multiple stores of Shanghai Xiao Nan Guo had ceased operations, with its headquarters empty. Some consumers received refunds for their New Year's Eve dinner deposits, but many others could not contact the store.
On February 10, Shanghai Xiao Nan Guo's stock price fell sharply by 28.57%, closing at 0.025 Hong Kong dollars per share, with a total market capitalization of 66.39 million Hong Kong dollars.
SMIC reports 2025 revenue of 67.323 billion yuan, a year-on-year increase of 16.5%. On the evening of February 10, SMIC (688981) released its preliminary financial results for the fourth quarter of 2025. The report shows that during the reporting period of Q4 2025, the company achieved revenue of 17.813 billion yuan, a year-on-year increase of 11.9%; gross profit of 3.096 billion yuan, with a gross margin of 17.4%; and a net profit attributable to shareholders of the listed company of 1.223 billion yuan, a year-on-year increase of 23.2%.
For the full year 2025, SMIC's unaudited revenue was 67.323 billion yuan, a year-on-year increase of 16.5%. The unaudited net profit attributable to shareholders was 5.041 billion yuan, a year-on-year increase of 36.3%. The unaudited net profit after deducting non-recurring gains and losses was 4.124 billion yuan, a year-on-year increase of 55.9%.
Two new Hong Kong stocks list! "Anglers" support one IPO, surging over 100%. On February 10, Lexin Outdoor and Aixin Yuanzhi officially listed on the Hong Kong stock market. The two new stocks showed明显差异 in their first-day performance, with Lexin Outdoor rising by 102.29%, while Aixin Yuanzhi closed flat.
Notably, including Lexin Outdoor and Aixin Yuanzhi, 21 new stocks have listed in Hong Kong this year, with none falling below their issue price so far.
**Industry Highlights** ByteDance's Seedance 2.0 goes viral, triggering a surge in the film and television sector. A film and television stock doubles in 10 days with 7 limit-ups! New breakthroughs in key OLED materials revealed, unveiling high-growth potential stocks. Cloud computing enters an explosive period, list of companies with预增 earnings released. Low-altitude communication network construction gets a "timetable," listed companies in the communication industry actively布局. Memory prices continue to surge, storage industry chain dynamics shift.
**Market Strategy** Historical data provides strong support for "holding stocks during the holiday." A复盘 by Fullgoal Fund based on the past decade shows that the A-share market exhibits a clear pattern of "relative weakness before the holiday and strength after the holiday."
Selling pressure typically peaks in the second week before the Spring Festival, with the Wind All-A Index averaging a return of -2.20% during that week. However, market performance significantly improves in the final week before the holiday, with an average return of 0.53%.
The real "red envelope" often materializes after the holiday. The average return for the first week after the holiday reaches 2.03% for the Wind All-A Index, with an 80% probability of increase over the past decade. The average returns for the second and third weeks after the holiday are 0.86% and 0.83%, respectively.
In terms of style, small and mid-cap stocks and growth stocks show a more pronounced "reversal effect" around the Spring Festival, with significant elasticity after the holiday.
If historical patterns repeat, allocating to small and mid-caps and growth stocks before the holiday might be a good strategy to leverage the "Spring Festival effect." At the industry level, sectors like computers, electronics, communications, non-ferrous metals, and machinery equipment show the strongest post-holiday reversal effects. In contrast, sectors like banking, food and beverage, and non-bank financials show weaker reversal effects, with banking even performing better before the holiday than after.
"Volume contraction before the holiday and volume expansion after the holiday" is a typical characteristic. The strategy team at Soochow Securities分析指出 that the current market trend aligns with historical patterns, with trading volume明显回落 since early February. According to experience, market volume usually starts to decline from T-8 days (T being the Spring Festival). The volume contraction trend generally continues until the first trading day after the holiday, after which trading enthusiasm warms up, and market liquidity gradually recovers.
Regarding index movement, Soochow Securities'复盘 found that the market usually begins a trend性反弹 about five trading days before the holiday, with the rally generally lasting until about six trading days after the holiday. During this period, the index shows a clear upward trend, with the slope of the increase gradually slowing down afterwards.
In terms of style rotation, a strategist at Guosen Securities pointed out that large-cap and small-cap styles have distinct periods of outperformance around the Spring Festival: large-caps have a higher probability and average gain before the holiday, while small-caps明显 outperform after the holiday.
This phenomenon may be related to fund flows: before the holiday, margin trading funds (preferring high risk and active trading) tend to flow out, while ETF funds (with a higher institutional proportion) may flow in, leading to market volume contraction and relative stability in large-caps; the situation reverses after the holiday,推动 market volume expansion and活跃 small-cap performance.
**Announcements Summary** 【Major Events】 Baichuan Industries: Recently, some of the company's main products have seen price increases, but the sustainability of price fluctuations is uncertain. Jincheng Group: Plans to acquire an additional 42.50% equity in CMH Company. Huatian Technology: Plans to acquire 100% of Huayi Microelectronics shares for 2.996 billion yuan. Runtu Co., Ltd.: Due to uncertainty in the sustainability of disperse dye price fluctuations, the impact on the company's performance cannot be estimated for now. Zhongwu Hi-Tech: Plans to invest 145 million yuan to implement a project adding 30 million PCB drill rod units annually. ST Xinhua Jin: Nearing the deadline for rectification of fund misappropriation, may face trading suspension risk. *ST Lifang: Verification of stock price fluctuations completed, trading resumes on February 11. Liande Shares (2 consecutive limit-ups): Currently, gas turbine business has only achieved small-batch supply, impact on performance is limited. Hengdian Entertainment (7 limit-ups in 9 days): Box office performance of three Spring Festival films, including "Pegasus 3," remains uncertain. Ge Weidong subscribes to Jianghuai Automobile's private placement with 1 billion yuan. Xinhan New Materials: Plans private placement to raise up to 1 billion yuan for high-performance resin and other construction projects. Changfei Optical Fiber: Currently, the quantity of optical fibers and cables used for data center internal and interconnects accounts for a small proportion of global market demand.
【Financial Performance】 SMIC: Q4 2025 net profit 1.223 billion yuan, up 23.2% year-on-year. CITIC Securities: China Asset Management's 2025 net profit 2.396 billion yuan. TeBao Biotech preliminary results: 2025 net profit 1.038 billion yuan, up 25.39% year-on-year. Guoke Tiansheng preliminary results: 2025 net profit 204 million yuan, up 17.94% year-on-year. Shenzhen Capchem preliminary results: 2025 net profit 1.098 billion yuan, up 16.56% year-on-year. Youyan Silicon preliminary results: 2025 net profit attributable to parents down 10.14% year-on-year.
【Share Repurchases】 CPT: First repurchase of 0.04% of company shares. Linyang Energy: First repurchase of 0.41% of company shares, total amount paid 52.3251 million yuan. Jiaze New Energy: First repurchase via集中竞价, involving nearly 5 million yuan.
【Shareholder Transactions】 Hanwei Technology: Shareholder Hanxi Investment plans to reduce holdings by no more than 1.8639%. Wushang Group: Dazi Yintai plans to reduce holdings by no more than 3% of company shares. Huasen Pharmaceutical: Shareholder plans to reduce holdings by no more than 3% of company shares. Jiuzhitang: Shareholder holding over 5% reduces holdings by over 1%.
【Major Contracts】 China State Construction: New contracts signed in January total 399.5 billion yuan, up 1.8% year-on-year. Senyuan Electric: Pre-winning Southern Power Grid project worth 272 million yuan. Jinguan Electric: Wins Southern Power Grid project for line arrester products worth约 28.8691 million yuan. Samsung Medical: Subsidiary pre-wins Southern Power Grid project worth 321 million yuan. China Railway Construction: Recently won 10 projects each over 1.5 billion yuan, totaling 45.142 billion yuan. Titan Wind Energy: Cumulative offshore engineering orders signed since December 2025 amount to 870 million yuan.