Founder Futures: A-share market continues to fall; IM drops sharply

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China’s A-share market continues to trade with volatile weakness today, with the adjustment phase persisting. Among them, IM has seen a relatively larger decline, while recent large-cap bellwethers have clearly outperformed mid- and small-cap stocks. The U.S. revoked Iran’s oil export exemption, pushing up oil prices. The market has re-priced the risk of an energy-driven inflation rebound together with geopolitical risks; U.S. Treasury yields on both the 2-year and 10-year tenors have risen in tandem. The valuation center for globally overvalued technology assets has shifted downward. In China’s A-shares, high-valuation sectors such as new energy and robotics are bearing the pressure of valuation contraction. Domestically, the market has entered a period of dense mid-year earnings releases; market pricing logic is shifting from theme-driven speculation to earnings realization. High-level theme stocks that previously lacked earnings support are encountering concentrated selling, and capital is actively rotating into sectors with stronger earnings certainty. It is suggested to mainly stay on the sidelines and buy on dips. (Chuangshi Futures)
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