The Chinese equity markets have entered a new era of bullish exuberance, with the Shanghai Composite Index reclaiming the psychologically significant 4,100-point mark. More crucially, the ChiNext Composite Index—China’s answer to the Nasdaq—has finally eclipsed its previous historical peak set during the 2015 bubble. This resurgence signals a profound shift in investor sentiment, as the focus moves from traditional property-linked growth toward a state-sanctioned 'hard tech' future.
Trading volume across the Shanghai and Shenzhen exchanges reached a staggering 2.56 trillion RMB, reflecting massive liquidity and a renewed appetite for risk among both institutional and retail investors. Unlike the speculative mania of a decade ago, the current rally is anchored by a domestic push for technological self-reliance. This is evidenced by the explosive performance of AI computing hardware and high-speed optical fiber sectors, which dominated the day's gains.
Leading the charge were national champions such as Foxconn Industrial Internet and Dongshan Precision, both of which touched their daily upside limits. The market’s obsession with 'computing power' (suanli) has become the primary engine of growth, as China accelerates its efforts to build a domestic AI ecosystem independent of Western chip supply chains. Major players in the computing rental and infrastructure space also saw multiple stocks hitting all-time highs.
While traditional sectors like film and media faced adjustments, the broader market remains buoyant. The convergence of massive domestic liquidity and a strategic pivot toward AI infrastructure suggests that Beijing is successfully redirecting capital away from the cooling real estate sector. This move into high-end manufacturing and digital infrastructure is not just a market trend but a core component of China's long-term economic survival strategy.