Today's Headlines

In the first half of the year, the national total social electricity consumption reached 4.66 trillion kWh, a year-on-year increase of 8.1%.

China Electricity Enterprise Federation released the "Analysis and Forecast Report on the National Power Supply and Demand Situation for the first half of 2024" on July 24. The report shows that in the first half of the year, the national electricity consumption reached 4.66 trillion kilowatt-hours, an increase of 8.1% YoY, an increase of 3.1 percentage points from the same period last year. It is expected that the newly installed power generation capacity in 2024 will be basically the same as that in 2023. The total newly installed capacity of grid-connected wind power and solar power generation is expected to reach around 0.3 billion kilowatts. By the end of 2024, the national installed capacity is expected to reach about 3.3 billion kilowatts, a YoY increase of 13%. The total national electricity consumption is expected to reach about 9.82 trillion kilowatt-hours, a YoY increase of about 6.5% for the whole year in 2024.

According to Southern Power Grid, the electricity load of Guangdong, Guangxi, Yunnan, Guizhou and Hainan provinces and regions served by Southern Power Grid hit a new historical high of 243 million kilowatts for the second time this year at 16:45 on July 24. Among them, Guangdong, as the province with the largest power consumption scale in the country, hit a new historical high for the fourth time this year, breaking through 150 million kilowatts for the first time, reaching as high as 152 million kilowatts, equivalent to the power consumption scale of three British power grids.

Jiang Debin, deputy director of the China Electricity Council's Statistics and Data Center, said in response to questions that the steady economic operation, high temperatures, and rapid development of new infrastructure will support stable and fast growth in national power consumption. At the same time, considering the high base factor, the growth rate of national power consumption in the second half of the year is expected to slow down compared with the first half of the year. It is estimated that the growth rate of total social electricity consumption in the second half of the year will remain stable at around 5%, and the annual growth rate will be in a state of "front high, rear stable". Benefiting from the continuous growth of electricity demand, the investment scale of the power industry has remained at a high level for a long time, driving the demand for power grid equipment, especially transmission and transformation equipment. Industry insiders said that under the trend of increasing investment in power grid and high-growth demand at home and abroad, bidding for projects is expected to further accelerate in the second half of the year, and the power grid equipment industry chain will maintain high prosperity.

Outlook for the Future

The three major U.S. stock indexes collectively plummeted with Tesla (TSLA.US) falling more than 12%.

On the overnight U.S.stock market, the Dow Jones fell 504.22 points, or 1.25%, to 39,853.87; the Nasdaq fell 654.94 points, or 3.64%, to 17,342.41; and the S&P 500 fell 128.61 points, or 2.31%, to 5,427.13. Tesla (TSLA.US) fell more than 12%, Nvidia (NVDA.US) fell 6.8%, and Apple (AAPL.US) fell 2.8%. The Nasdaq China Golden Dragon Index fell 1.9%, and Li Auto(LI.US) and Xpeng Motors(XPEV.US) fell more than 4% each. The Hang Seng Index ADR fell and closed at 17230.12 points, down 80.93 points or 0.47% from Hong Kong's closing.

Due to investors' disappointment with the prospects of artificial intelligence, the market value of the Nasdaq 100 component stock evaporated by 1 trillion USD, and the index fell more than 3.6%, marking the worst performance since October 2022.

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Macron: The opening ceremony of the Paris Olympics will be held on the Seine as planned.

The 2024 Paris Olympics will be held from July 26th to August 11th local time. On the 23rd, French President Macron said in an interview with the media that the opening ceremony of the Paris Olympics will be held on the Seine as planned. This is the first time in modern Olympic history that the opening ceremony has been moved from a stadium to an open urban space.

The Paris Olympics will open on July 26th. Feizhu data shows that since July, the number of air ticket bookings to France has increased by more than 70% YoY, the number of French hotel bookings has increased by more than 1.5 times YoY, and the transaction volume of French visa application services has increased by more than 1.4 times YoY. Marseille and Bordeaux, both of which are "Olympic cities," are also popular with Chinese tourists. Since July, the number of air ticket bookings to Marseille and Bordeaux on Feizhu has doubled. Tongchengtravel platform data shows that the booking fever for flights from major domestic cities to Paris during the first week of the Olympics increased by more than 150% YoY, and the booking fever for hotels in the core area of Paris increased by more than 4 times YoY. During the first week of the Olympics, the average ticket price for flights from major domestic cities to Paris rose by more than 40% MoM.

The total copper production of MMG in the second quarter was about 0.091 million tons, a decrease of 2% YoY.

MMG Resources (01208) announced that the total copper production (including electrolytic copper and copper concentrate) in Q2 2024 was 90,972 tons, a decrease of 2% from the same period last year, but an increase of 36% from Q1 2024. The copper production of Las Bambas decreased by 14% year-on-year, but increased by 25% from Q1 2024, mainly due to the ore supply from Chalcobamba mine, although the average grade of ore in Ferrobamba mine decreased due to mining sequence. The output of Kinsevere increased by 2% year-on-year, due to the enhanced stability of power supply and the increase in ore supply from Sokoroshe II mine, resulting in an increase in ore processing. Khoemacau contributed 8,907 tons of copper production, which was the first full quarter of production after the mine was acquired on March 22, 2024.

IVD Medical (01931) completed the placement of a total of 0.271 billion shares of shares for the placement.

IVD Medical (01931) announced that the prerequisite of the placement agreement has been met, and the placement has been completed on July 24, 2024. A total of 0.271 billion shares of shares (equivalent to approximately 16.67% of the expanded issued share capital of the Company after the placement) have been placed at HKD 0.7 per share to no less than six placing agents.

China Cinda: It is expected that the net income attributable to shareholders will decrease by about 40%-50% year-on-year in the first half of the year.

China Cinda announced on the Hong Kong Stock Exchange on July 24 that it expected the net profit attributable to shareholders of the company for the six months ended June 30, 2024 to decrease by about 40% to 50% compared with the same period last year. The company believes that the main reason for the above changes is that, affected by the changes in the macroeconomic situation, the company has increased the provision of credit risk to cope with the pressure on the asset quality of some financial assets held by the company measured at amortized cost.

Over the past year, the total sales of goods sold by Douyin e-commerce experts increased by 43% year-on-year.

On July 24, the "New Income and New Consumption" theme sharing meeting was held in Peking by Douyin E-commerce "Looking for Companions". The reporters learned that in the past year, the total sales of Douyin E-commerce's goods delivered by experts increased by 43% year-on-year, and the total live broadcast time increased by 40% year-on-year; 5.28 million new experts for delivering goods were added, a year-on-year increase of 74%. According to the "2024 Douyin E-commerce Experts Growth Report" released on the same day, small volume can also achieve great business. Among the experts with a sales volume of 0.5 million to 5 million yuan per year, 30% have fans with a quantity of less than 0.01 million, and 51% have fans with a quantity of 0.1 million to 1 million yuan. In the first half of 2024, the number of daily goods-delivering experts in Douyin E-commerce's small, waist and head segments exceeded 560,000, 170,000 and 3,000 respectively. It involves Hong Kong stock East Buy (01797).

JD.com: Will issue a stablecoin based on public blockchain in Hong Kong that is pegged to the Hong Kong dollar 1:1.

JD.com Coinlink Technology announced that stablecoins have not been issued yet. This plan is implemented by JINGDONG Coinlink, a subsidiary of JD.com Technology Group in Hong Kong, which has been listed as a participant in the Sandbox of stablecoin issuers published by the Hong Kong Monetary Authority. JD stablecoin will be issued based on public blockchain, and its reserves will be composed of highly liquid and trustworthy assets, and stored in independent accounts of licensed financial institutions to ensure the integrity of reserves through regular disclosure and audit reports. This Sandbox regulation is an experimental project of the Hong Kong Monetary Authority, aiming to test the application scenarios of encrypted currency stablecoins. It involves Hong Kong stock JD.com (09618).

Stocks are clearing up.

Lonking (03339) announced that based on the preliminary review of the unaudited comprehensive management accounts of the Group for the six months ended on June 30, 2024 by the Board of Directors, the net profit for the first half of 2024 will increase significantly. The net profit will be between RMB 0.41 billion and RMB 0.461 billion, an increase of 33% to 50% from the same period last year.

Based on the preliminary review of the unaudited comprehensive management accounts of the Group for the six months ended on June 30, 2024 by the Board of Directors, Lonking (03339) announced that the net profit for the first half of 2024 will increase significantly. The net profit will be between RMB 0.41 billion and RMB 0.461 billion, an increase of 33% to 50% from the same period last year.

Soochow Securities released research reports indicating that the bottom margin of the construction machinery industry's beta is moving up, and is expected to welcome resonance between domestic and foreign markets. In the long run, electrification is expected to become the breakthrough for the global construction machinery industry, and the increasing penetration rate of electrification is bullish for the broad market space.