The market is experiencing a mild rebound, with small and mid-cap styles leading the way. The CSI 1000 Enhanced ETF (159680) and CSI 2000 Enhanced ETF (159552) are jointly rising.

April 7, the A-share market saw a modest rebound. More than 3,900 individual stocks across both markets rose, with a preference for small- and mid-cap styles. As of the time of writing, the micro-cap stock index was up more than 2%, the China Merchants CSI 1000 Enhanced ETF (159680) rose 0.96%, and the China Merchants CSI 2000 Enhanced ETF (159552) rose 1.46%.

At the overall market level, the three major indices surged and then pulled back, with the half-day trading value in the Shanghai and Shenzhen markets totaling 1.22 trillion yuan. On the hotspots front, theme rotation was fast. The chemical sector continued to rise; leaders included large refining and petrochemical operations and organic silicon. The PCB concept rebounded and surged, while the AI compute chip concept continued to rebound intraday. The market’s “making money” effect was concentrated in the small- and mid-cap direction.

On the market’s fund flows, the China Merchants CSI 1000 Enhanced ETF (159680) recorded net subscriptions of 23.60 million yuan in the previous trading day. Over the past 20 trading days, it accumulated net subscriptions of nearly 70 million yuan. The willingness to deploy small- and mid-cap enhanced strategies on dips remained strong. The ETF’s latest size reached 1.063 billion yuan, and since the start of the year, its shares and fund size have increased by about 60%.

The China Merchants CSI 2000 Enhanced ETF (159552) received a net inflow of 19 million yuan in the previous trading day. Since its inception, the return reached 105.76%. Versus the CSI 2000 index over the same period, it outperformed by 41.89%. Among similar enhanced index-based funds over the past year, its net asset value growth rate ranks in the upper tier.

CITIC Securities stated that the recent adjustment in small and micro-cap stocks is mainly due to the “liquidity amplifier” effect. After the Qingming Festival, the small and micro-cap stock rally has been affected only weakly by the substantive impact of policy new rules. Whether it can break free from its trend dilemma may depend on the restoration of risk appetite. In the medium to long term, increased efforts on domestic fiscal policy and the entry of medium- to long-term funds into the market are expected to provide market downside support.

The analysis said that uncertainty still exists in overseas geopolitical conditions, but positive factors on the domestic side are also accumulating, including proactive fiscal policy and medium- to long-term fund market-entry plans. For investors who prefer enhanced small- and mid-cap strategies, the China Merchants CSI 1000 Enhanced ETF (159680) and the China Merchants CSI 2000 Enhanced ETF (159552) provide differentiated broad-based allocation tools worth continued tracking and attention.

(Editor: Zhang Xiaobo)

     【Disclaimer】This article only represents the author’s personal views and is not related to Hexun.com. The Hexun website maintains a neutral stance toward the statements, viewpoints, and judgment calls made in the text, and does not provide any explicit or implicit guarantees regarding the accuracy, reliability, or completeness of the contents. Readers should treat this as reference only and assume all responsibility themselves. Email: news_center@staff.hexun.com

Report