A-share Opening Express | Three Major Indices Open Lower Collectively, Defense and Military Industry, Building Materials Lead the Decline

According to Zhitong Finance APP, on August 11, the Shanghai Composite Index opened down 0.40% at 3950.71 points, the Shenzhen Component Index opened down 0.35% at 14266.44 points, the ChiNext opened down 0.09% at 3533.89 points, and the STAR 50 opened down 1.41% at 1713.26 points.

As of 9:33 AM, there were 1,092 stocks rising and 4,201 stocks falling across the two markets and the Beijing Stock Exchange, with 249 stocks flat.

Top gainers: precious metals, jewelry, film and television, communication equipment, biological products, etc.; top losers: defense and military industry, building materials, comprehensive, light industry manufacturing, social services, computers, etc.

Market Situation

On August 11, the three major A-share indices opened lower collectively, with the Shanghai Composite Index opening below the 3950-point mark. The previous trading day, the Shanghai Composite Index closed up 0.67% at 3966.59 points, achieving five consecutive days of gains before a pullback. The STAR 50 had the largest opening decline, reaching 1.41%. In the market, the precious metals sector opened over 2% higher due to the continued strength of international gold prices, while communication equipment and biological products saw slight gains; the defense and military sector opened with the largest decline, with aerospace equipment under significant pressure; building materials, comprehensive, and light industry manufacturing sectors also weakened simultaneously. Only 1,092 stocks rose in the entire market, accounting for about 19%, indicating a low profit-making effect. The oil and petrochemical sector opened slightly higher by 0.24% due to an overnight increase of over 5% in international oil prices.

Overnight News Brief

U.S. stock indices closed lower, international oil prices surged over 5% due to geopolitical tensions: On August 10, the Dow Jones Industrial Average fell 0.11% to 53975.98 points, the Nasdaq fell 0.32% to 26605.36 points, and the S&P 500 dipped 0.06% to 7753.11 points. Affected by the U.S.-Iran situation and uncertainties in the navigation of the Strait of Hormuz, the WTI crude oil main contract closed up 5.27% at $82.30 per barrel, and the Brent crude oil main contract rose 5.17% to $87.87 per barrel. The S&P 500 energy sector rose 4.63%, marking the best single-day performance since April 2025. COMEX gold futures rose 1.10% to $4448.20 per ounce. Chinese concept stocks performed strongly against the trend, with the Nasdaq Golden Dragon China Index rising 1.65% and Alibaba up 2.9%.

The "14th Five-Year" plan for coal and the central bank's "14th Five-Year" reform and development plan were issued on the same day: On August 10, the National Development and Reform Commission and the National Energy Administration jointly issued the "14th Five-Year Plan for Coal Industry Development," proposing that by 2030, the production of five major coal supply guarantee bases will account for over 80% of the national total, the proportion of intelligent coal mine capacity will increase to 75%, and the proportion of large modern coal mines will rise to 87%. On the same day, the central bank issued the "People's Bank of China 14th Five-Year Reform and Development Plan," proposing to improve the framework of modern monetary policy with Chinese characteristics, enhance the mechanism for basic currency issuance, promote the internationalization of the RMB, and deepen the two-way opening of financial markets.

NVIDIA collaborates with six major financial giants to establish a $500 billion AI financing platform, and several A-share companies disclose large repurchases: After the market closed on August 10, NVIDIA confirmed a strategic partnership with Apollo Global Management, Blackstone, BlackRock, and other six financial institutions to mobilize over $500 billion in third-party capital for AI infrastructure construction On the same day, Jiangbolong announced a net profit of 10.577 billion yuan for the first half of the year, a year-on-year increase of 71,528.66%, and plans to repurchase 400 million to 800 million yuan; Zhaochi Co., Ltd. plans to repurchase 300 million to 500 million yuan; Yongmaotai plans to repurchase 150 million to 300 million yuan. Alibaba Cloud disclosed plans to increase global production capacity of modular data centers by more than double.

Trend Analysis

On August 11, the three major A-share indices opened lower across the board, with the Shanghai Composite Index entering a correction after five consecutive days of gains, and the opening profit-making effect was less than 20%, showing short-term profit-taking pressure. The overnight escalation of the U.S.-Iran situation pushed international oil prices up more than 5% in a single day, with WTI crude oil returning above $82 per barrel, coupled with the U.S. dollar index rebounding above 99.8, creating certain pressure on risk appetite due to external uncertainties.

From the sector structure, the precious metals sector opened higher against the trend due to the continued strength of COMEX gold, while the coal sector, despite benefiting from the "14th Five-Year Plan" policy, saw its gains narrow after the opening. The previously rotating sectors such as defense and military industry, and building materials showed significant corrections, indicating an accelerated rhythm of market style rotation. Institutional consensus leans towards the short-term index level possibly entering a phase of consolidation, but in the medium term, under the catalysis of industrial policies in coal, AI infrastructure, and other areas, structural opportunities still exist. The news of Nvidia's $500 billion AI financing platform may provide emotional support for AI computing power and optical communication directions, but attention should be paid to the evolution of the U.S.-Iran situation and the transmission pressure of rising oil prices on the cost side of the mid and downstream