**Today's Headlines**

**People's Bank of China to Conduct 1.1 Trillion Yuan Outright Reverse Repo Operations**

The People's Bank of China announced on September 30 that to maintain ample liquidity in the banking system, it will conduct 1.1 trillion yuan in outright reverse repo operations on October 9 through fixed-volume, rate bidding, and multiple price winning methods, with a three-month term. Sources indicate that 800 billion yuan worth of three-month outright reverse repos will mature in October. Therefore, the central bank's 1.1 trillion yuan operation on October 9 represents a net injection of 300 billion yuan for October's three-month term operations. Wang Qing, Chief Macro Analyst at Orient Jincheng, believes that the central bank's outright reverse repo operations continue to inject liquidity into the market, signaling sustained strength from quantitative policy tools while supporting smooth government bond issuance and better meeting credit financing needs of businesses and residents.

**Market Outlook**

**Popular Chinese Concept Stocks Rise Broadly, COMEX Gold Futures Hit Fresh Record High**

Overnight U.S. markets closed with the Dow Jones Industrial Average up 43.21 points to 46,441.1, gaining 0.09% to reach a new closing high. The S&P 500 rose 22.74 points to 6,711.2, up 0.34% for a new closing high. The Nasdaq Composite gained 95.15 points to 22,755.16, advancing 0.42%.

Large-cap tech stocks mostly gained, with Intel surging over 7% on reports of early-stage talks to bring AMD as a foundry customer. Weight-loss drugs, pharmaceutical manufacturers, and semiconductor equipment sectors led gains. AstraZeneca rose nearly 10%, while Micron Technology and Eli Lilly jumped over 8%. Merck and Roche gained over 7%, with Pfizer and Novo Nordisk up over 6%. ASML advanced over 3%.

Popular Chinese concept stocks broadly advanced, with Baidu and Century Link gaining over 4%, and JD.com up over 3%. COMEX gold futures for the nearby contract rose $24.30 or 0.63% to $3,897.5 per ounce, setting another record high.

**Hot Topics Preview**

**National Development and Reform Commission Allocates Fourth Batch of 69 Billion Yuan Ultra-Long Special Treasury Bonds for Consumer Trade-in Program**

The National Development and Reform Commission, together with the Ministry of Finance, has recently allocated the fourth batch of 69 billion yuan in ultra-long special treasury bonds to support the consumer trade-in program to local governments. This brings the total central government funding allocated for the year to 300 billion yuan. Next steps will involve relevant departments organizing local governments to maintain appropriate work pace, improve fund utilization plans, ensure balanced and orderly subsidy disbursement, strengthen product quality and price supervision, severely crack down on fraud and illegal subsidy claims, and steadily implement the consumer trade-in policy to ensure funds are used effectively.

**U.S. Government Shutdown Expected to Cancel Friday's Jobs Report**

The government shutdown is expected to prevent the release of Friday's monthly employment report. This nonfarm payrolls data is crucial for both investors and the Federal Reserve as it considers further rate cuts. The U.S. Department of Labor's contingency plan states that economic data releases would be suspended during a government shutdown. A Labor Department spokesperson confirmed Tuesday that Thursday's weekly initial jobless claims report would also be canceled.

**Macau Gaming Gross Revenue Reaches 18.289 Billion Patacas in September, Up 6% Year-over-Year**

On October 1, Macau's Gaming Inspection and Coordination Bureau announced that September gaming gross revenue reached 18.289 billion patacas, representing a 6% year-over-year increase. Cumulative gaming revenue for the first nine months reached 181.341 billion patacas, up 7.1% compared to the same period last year.

**Apple Bets on AI Glasses, Shelves Headset Upgrades to Compete with Meta**

Apple has paused upgrade plans for its Vision Pro headset, redirecting resources to a more urgent project: developing smart glasses to compete with Meta Platforms products. According to sources, Apple had planned to launch a lighter, cheaper headset codenamed N100 in 2027 but announced internally last week that project personnel would be reassigned to the glasses development division.

Apple is reportedly developing at least two smart glasses models. The first, codenamed N50, would work with iPhones and lack a display screen, potentially debuting next year for a 2027 market launch. Another version with a display screen, originally scheduled for 2028, is being accelerated and may directly challenge Meta's newly launched Ray-Ban Display smart glasses.

**Packaging Paper Prices Rise 10 Times in Two Months as Multiple Companies Issue Price Increase Notices**

Recently, multiple packaging paper companies have issued new rounds of price adjustment notices. This marks the 10th price increase since August. Since July, paper manufacturers have continuously issued price increase notices. Since August alone, some paper companies have issued 10 price increase notices for kraft paper, corrugated paper, and other packaging papers, with increases ranging from 30 to 50 yuan per ton.

The approaching "Golden Week" holiday demand combined with rising upstream raw material waste paper prices has driven up base paper prices. This affects Hong Kong-listed ND PAPER (02689).

**China's Fusion Device BEST Main Unit Construction Begins**

The compact fusion energy experimental device BEST project in Hefei, Anhui achieved a key breakthrough. The BEST device's main component - the dewar base - was successfully developed and delivered, precisely installed in the BEST device main hall, marking a new phase in the project's main construction. The device will be the first internationally to demonstrate nuclear fusion power generation, potentially lighting the first fusion-powered lamp by 2030. The controllable nuclear fusion concept involves Hong Kong-listed SH ELECTRIC (02727).

**September Delivery Results from New EV Players Released**

As of now: 1. Li Auto: Delivered 33,951 vehicles in September, with Q3 cumulative deliveries of 93,211 units 2. Xiaomi Auto: Delivered over 40,000 units in September 2025 3. Lantu Auto: Delivered 15,224 units in September, with January-September cumulative growth of 85% 4. Zeekr: Delivered 51,159 vehicles in September, up 8.5% year-over-year 5. IM Motors: September sales of 11,107 units, up 81.8% month-over-month, reaching a brand record high 6. Leapmotor: Delivered 66,657 units in September, up over 97% year-over-year, first time breaking the 60,000 monthly threshold 7. GAC Toyota: September sales reached 71,220 units, with January-September sales of 567,515 units showing positive year-over-year growth 8. NIO: Delivered 34,749 vehicles in September, setting a monthly record with 64.1% year-over-year growth 9. XPeng: Delivered 41,581 new vehicles in September, up 95% year-over-year, breaking the 40,000 monthly delivery milestone for a new record high

**PINESTONE-NEW (00804) Plans to Acquire Full Stake in Jumbo Company Limited for HK$40 Million**

PINESTONE-NEW announced that on September 30, 2025, the company (as buyer) entered an agreement with seller Joint System Limited. The company conditionally agreed to purchase and the seller conditionally agreed to sell the sale shares (all issued share capital of target company Jumbo Company Limited) for a consideration of HK$40 million. The consideration will be satisfied through the issue and allotment of 13.986 million consideration shares to be issued at HK$2.86 per consideration share.

**VALA (02051): New Model "vala home" Officially Launched with Pre-orders Open**

VALA announced that on September 20, 2025, the company officially launched China's first factory-built tilting-roof six-seat new energy camping vehicle - vala home - in partnership with Chongqing Ruichi Automobile Industry Co., Ltd. With factory R&D, innovative design, and affordable pricing, vala home combines MPV functionality, RV living attributes, and new energy vehicle cost advantages to meet diverse customer needs. At the recent "2025 World Intelligence Industry Expo" in Chongqing, vala home attracted significant visitor attention and received coverage from authoritative media including CCTV News, with its novelty and practicality receiving recognition.

**SIHUAN PHARM (00460) Subsidiary's Self-Developed L-Carnosine Complex Solution "Dongyan" Receives NMPA Approval**

SIHUAN PHARM announced that its subsidiary Meiyan Space Biotechnology (Jilin) Co., Ltd. has received third-class medical device registration certificate from China's National Medical Products Administration for its self-developed Injectable Sodium Hyaluronate Complex Solution (brand name: Dongyan). This product combines mesotherapy effects with bioactive properties and is the first domestically approved L-carnosine-containing complex solution for temporarily improving facial dryness and dull skin tone.

**Individual Stock Spotlight**

**ZIJIN GOLD INTL (02259): Benefits from Sustained International Gold Price Rally**

ZIJIN GOLD INTL is Zijin Mining's gold mining entity outside China, primarily engaged in gold exploration, mining, refining, and sales, holding interests in eight gold mines across Central Asia, South America, Oceania, and Africa. The eight mines include Buritica, Norton Gold Fields, Rosberg, Aurora, Giraud/Tarot, Akim, Left Bank, and Pogera gold mines. Additionally, Zijin Mining announced in June a $1.2 billion acquisition of Kazakhstan's large Raygorodok gold mine, with project handover currently proceeding orderly.

DBS Group Research analyst Lee Eun Young reports that specialist gold miner ZIJIN GOLD INTL is expected to continue outperforming peers in profitability and earnings growth. The Hong Kong-listed company consolidates parent Zijin Mining's overseas gold assets. She notes that substantial gold reserves should support strong growth potential for ZIJIN GOLD INTL. Lee expects the company's EBITDA margin to rise to 58.1% by 2025, above the 48% peer average. She also projects ZIJIN GOLD INTL's net profit compound annual growth rate to reach 51% through 2027, significantly exceeding the 44% peer average.