China’s equity market staged a broad mid‑session advance on Thursday, with small‑cap and growth names leading the charge. The Shanghai Composite traded narrowly but positive at 4,137 points while Shenzhen benchmarks climbed more noticeably; the ChiNext composite (China’s tech and growth board) rose more than 1% by midday. Turnover across the two exchanges hit RMB 1.33 trillion — about RMB 30.7 billion higher than the previous trading day — and more than 2,700 stocks were in the green, underscoring a widespread appetite among investors.
The most conspicuous move was in the power‑grid equipment cluster, which rallied across the board. Makers of transformers, switchgear and related transmission equipment such as Siyuan Electric and Sifang Co. pushed to fresh highs, while Wangbian Electric, Shunna and Senyuan each hit daily limits. Market participants treated the sector as a beneficiaries of longer‑term policy priorities — from ultra‑high‑voltage transmission to renewables integration and electrification of transport — and the cluster’s leadership suggests a rotation toward industrial infrastructure stocks.
Other industrial sectors echoed that shift. Non‑ferrous metals were active, with tungsten producers (notably Xianglu and Zhangyuan) posting multi‑day board gains, while components and communications‑related plays in the so‑called CPO concept continued to climb — Tianfu Communications extended gains and set a new record. Separately, gas‑turbine related names exploded higher, sending some small caps to limit‑up levels. By contrast, consumer‑facing leisure names underperformed: cinema and theatre chains suffered sharp losses, with several heavyweights including Huanrui Century, Hengdian and Bona plunging to trading limits on continued weakness in the sector.
The internals — broad breadth, rising turnover and numerous single‑stock limit moves — point to a market driven by retail liquidity and sector rotation rather than a narrow leadership by mega‑caps. The Shanghai Composite closed up about 0.12%, the Shenzhen Component rose roughly 0.81% and the ChiNext jumped about 1.18% at the midday close. While healthy breadth is positive for risk appetite, the prevalence of daily limit moves and concentrated speculative flows warrants caution: such momentum can reverse sharply and draw regulatory attention in an already closely watched market.