Small- and mid-cap broad-based indices declined slightly this week. Pay attention to the performance of the CSI 500 ETF E Fund (510580) and the CSI 1000 ETF E Fund (159633).

This week, the CSI 2000 Index rose by 0.4%, the CSI 500 Index fell by 0.3%, the CSI 1000 Index fell by 0.5%, the STAR 100 Index fell by 0.9%, and the ChiNext Mid-cap 200 Index fell by 1.4%.

China Galaxy Securities believes that the duration and evolution path of geopolitical factors still have significant uncertainty, but supported by a logic centered on ourselves, the downside space for A-shares is relatively limited, and the market is likely to digest external pressure through a way of oscillating differentiation and structural rotation.

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