The second wave of the overseas epidemic hit, so focus on the elasticity of the testing sector's performance. Since mid-late September, outbreaks have been repeated in European and American countries, and the number of new cases per day is on the rise: on September 18, the number of confirmed cases in a single day in France reached a record high; on September 23, the number of confirmed cases in the UK reached its peak since May; and Canadian Prime Minister Trudeau said in his national speech that the second wave of the epidemic had begun in Canada. Driven by the second wave of the overseas epidemic, the A-share pharmaceutical sector rose 0.85% this week, ranking first among all Shenwan's Tier 1 industries; the biopharmaceuticals sector rose 4.17%, leading the way in the biomedical industry sub-sector, and vaccine-related stocks all performed well. However, we believe that as early clinical data and results of COVID-19 vaccine phase III clinical data and results approach, the market's valuation of the vaccine sector tends to be rational, and it is unlikely that the sector will rebound to previous highs again. The second wave of the overseas epidemic has spawned demand for COVID-19 nucleic acid testing. It is recommended to focus on the overseas testing business of relevant domestic companies, includingBGI,Daan gene,Oriental creatures.

Domestic innovative drugs appeared at the CSCO conference. The 2020 CSCO meeting was held. A number of domestic pharmaceutical companies announced clinical progress and data on key varieties, including carelizumab, treprilizumab, and tilelizumab. As collection and health insurance policies continue to advance, the direction of industry development is accelerating towards innovative drugsType; furthermore, in the context of drug fee control, the value of innovation has once again been highlighted. It is recommended to focus on domestic innovative drug leaders and biotech companies with strong R&D capabilities. It is recommended to focus on:Hengrui Pharmaceuticals, China Biopharmaceuticals,Fosun Pharmaceuticals,Junshi Biology, Fuhong Hanlin-B. Also,Berry genesThe progress in the data results of the Liver Cancer Early Screening Precar Program was presented at this CSCO conference. After a year, the size of the crowdThe indicators have been expanded and optimized, and reduced to four types of indicators, and both sensitivity and specificity have been improved. Tumors are associated with diagnosis and early screening, and it is recommended to focus on Berry genes.