Hard tech rebounds as the semiconductor materials and equipment index turns positive first, with the E Fund Semiconductor Equipment ETF (159558) seeing increased capital inflows during trading.

In the afternoon of February 5, the broader market rebounded, with the semiconductor sector showing a notable recovery. The CSI Semiconductor Materials and Equipment Theme Index turned positive first, rising 0.4% as of 14:10. Among the index constituents, Kema Technology surged over 9%, Core Micro over 6%, Jinhaitong and Tianyue Advanced over 3%, and Zhongke Feice, along with Zhongwei Company, rose more than 2%. The E Fund Semiconductor Equipment ETF (159558) saw net subscriptions reaching 10 million shares during trading. CITIC Securities noted that in response to a domestic advanced capacity gap of millions of wafers, domestic wafer fabs are experiencing a wave of expansion, creating a market opportunity worth tens of billions of dollars for equipment suppliers. Furthermore, localization rates are expected to double, presenting significant investment opportunities in semiconductor equipment. Attention should be paid to leading companies with platform capabilities and high-growth niche leaders. The CSI Semiconductor Materials and Equipment Theme Index focuses on semiconductor equipment and materials sectors. According to the Shenwan third-level industry classification, semiconductor equipment accounts for over 60% of the index, while semiconductor materials represent approximately 20%. Weighted stocks include industry leaders like Zhongwei Company, Northern Huachuang, Toching Technology, Changchuan Technology, and Huahai Qingke, all exhibiting strong growth potential amid localization trends. Investors can capture industrial development opportunities through products tracking this index, such as the E Fund Semiconductor Equipment ETF (159558).