[Illustrated Bull and Bear Stocks] Innovative drug sector leads in gains, fiber optic concept remains actively engaged

Ask AI · How Do Breakthroughs in Optical Communication Technology Drive the Rise of Fiber-Optic Concept Stocks?

Cailian Press, April 4 — This week, China’s three major A-share indices fluctuated and pulled back. The Shanghai Composite Index fell 0.86% week-on-week, the Shenzhen Component Index fell 2.96%, and the ChiNext Index fell 4.44%. This week’s market trading value declined noticeably compared with last week. This week, the chemical pharmaceuticals, biological products, and medical services sectors led the gains, while innovative drug and fiber-optic concept stocks were active in terms of performance.

This week, the innovative drugs sector led the gains, with Tianjin Pharmaceutical up 60.97% for the week and Shuanglu Pharmaceutical up 35.85% for the week. According to the National Medical Products Administration, in the first three months of this year, the total value of China’s innovative drug external licensing transactions exceeded $60 billion, approaching half of the full-year figure for 2025. The NMPA’s latest statistics show that, as of March 31, China had approved 10 innovative drugs for 2026, including 2 imported and 8 domestically developed. China’s innovative drugs have achieved a historic breakthrough and maintained a strong development momentum. At the same time, the 117th annual meeting of the American Association for Cancer Research (AACR) will be held in San Diego from April 17 to 22. Based on statistics compiled by various institutions, this year 104 Chinese pharmaceutical companies are expected to participate in AACR, bringing more than 250 innovative drugs and related research results, covering multiple current popular targets.

This week, fiber-optic concept stocks remained active. Longfei Optic Fiber rose 28.53% for the week and hit a new historical high for its share price; FiberHome Communications rose 25.63% week-on-week. As for the news, a joint team from the China Information and Communication Technology Group (CITIC) Group’s optical communication technology and network National Key Laboratory completed, for the first time, a real-time bidirectional transmission breakthrough at 2.5 petabits per second over a 10.3-kilometer standard optical fiber, marking that China’s high-speed optical communication core underlying technology has moved into the global forefront. From the perspective of fiber-optic prices, recently, operators’ centralized procurement prices for optical cables have been raised significantly. Heilongjiang Telecom released a tender announcement for its 2026 outdoor optical cable emergency procurement project. For the mainstream specification G.652D-24-core outdoor optical cable, the pre-tax unit price reaches 3,737.43 yuan per pair-kilometer, corresponding to an approximately 155.7 yuan per single-core kilometer price. Since the beginning of the year, operators’ centralized procurement has seen repeated cases of bids being cancelled and price increases; for some products, the bidding price limits even jumped by 100% within two months. To a certain extent, this reflects the current situation of tight supply in the fiber-optic industry.

Regarding main fund flows, this week, main funds recorded net inflows of more than 1.5 billion yuan into Industrial Uion, Yiding Shares, Hengrui Medicine, and Baogang Steel. Regarding main fund outflows, this week, main funds recorded net outflows of more than 3 billion yuan from Sunlight Power, Goldwind Technology, TCL Zhongji Xuchuang, CATL, and EVE Energy, with Sunlight Power seeing nearly 10 billion yuan in net outflows for the week.

(Cailian Press)