April 22, 2024 review: Today's hardest hit sector was the tech industry.

Hong Kong stocks surged nearly 2% today, while the A-share closing index was down, with individual stocks falling. The gains were in consumer goods, farming, and the military sector (G) due to news.

The hardest-hit sector today was technology, which has been the main theme since February-March after the Chinese New Year. A-shares' speculation is a reflection of U.S. stocks, and when the leading stock Nvidia peaked in March, the hype basically ended.

Additionally, Nvidia's stock price plummeted 10% on Friday, directly shattering the faith in this round of tech stocks. Everything has its cycle, and the previous surge in AI is now in an adjustment phase. Stocks that have fallen from highs have seen significant pullbacks. Will there be a rebound? Yes, but not now. There are many entangled factors here, so I won’t elaborate. For those holding AI-related stocks, gradually exit on any rebound opportunities.

In terms of themes, today’s leading sectors were consumer goods and farming, mainly due to rotation. The sustainability of farming is temporarily not optimistic, while consumer stocks may fluctuate around the May Day holiday.

Let me talk separately about the military sector (G). This is mainly driven by news. Whether the sector will sustain is unclear for now. Today’s surge was due to weekend news, and whether it continues tomorrow is unknown.

However, there were many limit-ups in the sector today, especially in 20cm stocks, with 300 mainly in large aircraft and 10cm in electronic information. Tomorrow will be a survival game. If the sector strengthens, keep an eye on military+G concepts.

The market is mostly oscillating now, and funds tend to be conservative by late April. Daily divergences or 2,000-3,000 stocks falling are normal. Stock selection is crucial now—if you’re unsure, don’t act blindly!