Jinwu Financial News | US stocks developed in five different ways last week. US employment data shows that the local labor market has cooled down. Investors expect the Federal Reserve to cut interest rates further to improve the market atmosphere. The increase widened once the market opened high. After that, the Dow rebounded from a high level and fell to close. The S&P 500 index and NASDAQ reached new record highs. The trend of the US dollar declined, and interest rates on US ten-year bonds fell back to 4.14%. Gold prices improved moderately, and oil prices continued to be pressured. The trend of Hong Kong stock depository securities is declining, and it is expected that the market will open lower in the early stages. The mainland stock market performed well last Friday. The market expected positive news from the Central Economic Work Conference. The Shanghai contraction index opened low and went high, the closing market rose 1.1%, and the turnover of the Shanghai and Shenzhen markets also increased markedly. Hong Kong stocks followed the improvement of the mainland stock market. At one point, the market reached the 20,000 mark. At the end of the market, the increase smoothed back slightly, and overall transactions also increased. The market continues to wait and see policy news. Coupled with rising expectations of interest rate cuts on the periphery, the RMB trend is strengthening, which also helps the performance of Chinese stocks. It is expected that the index may test 20,200 points of resistance, and the lower support is at the level of 19,200 points.

Industry news
Shang Tang (00020) announced that it has completed a strategic organizational restructuring to reposition the strategic direction and core areas to better meet the opportunities and challenges brought about by the AI 2.0 era. Shang Tang said that through restructuring, the group will focus on the core business represented by generative AI to promote the Group's business growth, profit and financial soundness, and provide lasting impetus for technological innovation; ecological enterprises will focus on their respective scenario-based AI and market segmentation needs while fully sharing the Group's infrastructure and infrastructure model construction results to form effective collaboration with the group to expand more development space; ecological enterprises will each set up independent CEOs and attract more talents to join through market-based incentives. After the restructuring, Shangtang established a new “1+X” architecture. “1” represents the Group's core business, built an industry-leading AI cloud, and realized seamless integration of large devices, basic models, and AI applications. In the CV field, we create a general visual model and deeply cultivate various application scenarios; “X” represents the Group's ecological enterprise matrix, including the smart car “masterpiece”, the home robot “Yuan Radish”, smart medical care, smart retail, etc. Each ecological enterprise will have an independent CEO responsible for business development, and will receive more flexible incentive mechanisms and financing channels, so that they can more quickly seize market opportunities in their respective fields. The market waits to see if Shang Tang can show a business continuity model after the restructuring and turn it into revenue and profit. It is believed that the process will still take time, causing the stock price trend to reverse.

(The author is a licensee of the Securities Regulatory Commission. I and related parties do not hold the above shares)

Author: Guo Jiayao, Director of Business Development, Harbour Family Office