Guide: ① Equipment update+overseas logic is gradually becoming a dark line in the current market; ② The consumer goods trade-in policy is expected to be officially introduced this week, catalyzed by news, automobiles and home appliances; ③ As cyclical stocks represented by non-ferrous products continue to differentiate, the current round is gradually interpreted to the second half, focusing on the low absorption arbitrage of individual stocks

The market continued to fluctuate and diverge yesterday, and the three major indices had mixed ups and downs. Among them, the direction of construction machinery, power grid equipment, etc. is strengthening in the market, and AI applications are also rebounding with favorable news. However, the low-altitude economy fell sharply yesterday, and confidence in the hype about the subject may be further damaged, so the focus of recent attention is on the direction where performance is more certain.

Yesterday, the construction machinery sector was further strengthened in yesterday's session. Among them, Liugong's rise and fall hit a new high of nearly 9 years, while weights such as Sany Heavy Industries, Xugong Machinery, and Hengli Hydraulics also showed significant increases. On the one hand, it has benefited from recent catalytic equipment renewal policies, and on the other hand, the profit level of domestic construction machinery companies has further increased due to increased demand in overseas markets. Essentially speaking, as we enter the earnings season and the temporary hype around the market, capital pays more attention to the definitive direction of high performance growth.

Similar to this logic, in the UHV and other electrical equipment sectors, China Xidian closed early because its performance exceeded expectations, while individual stocks such as Huaming Equipment, Samsung Healthcare, and Siyuan Electric continued to trend and hit new highs. From industrial mother engines, which were stronger before, to the explosion of construction machinery and power grid equipment (UHV) yesterday, it can be seen that the direction of benefiting from both equipment renewal and offshore logic is gradually becoming a dark line in the current market. In conjunction with yesterday's market, the Information Office of the State Council held a State Council policy routine briefing and explained that the consumer goods trade-in policy is expected to be officially introduced this week, which may further stimulate consumption potential in the automotive, home appliances, and kitchen and bathroom sectors. As a result, automobiles and home appliances are likely to spread speculation on today's market.

Let's also focus on the direction of cyclical stocks. Since the CPI of US stocks announced the night before yesterday exceeded expectations, commodities such as gold and non-ferrous metals were suppressed to a certain extent, showing an overall trend of rushing upward and downward. However, overall, it still maintained a strong carrying capacity. In the direction of high standards, Lai Shen Tongling advanced to the 8th consecutive board, while Zhongrun Resources also carried huge differences and walked out of the 4th board in 6 days. However, trending individual stocks such as Northern Copper and Zijin Mining have not experienced a break-down trend. However, with repeated interpretations of the color market, the overall ranking has reached a relatively high level, and subsequent price increases are expected to give less and less boost to market sentiment. Therefore, it is still mostly short-term ambushes with low absorption rather than high level relays to deal with it.