The Economic Information Daily, October 16 — A-share markets opened higher but closed mixed today. The SSE Composite Index turned up 0.24% in the final trading session, having briefly fallen below the 3,700-point level earlier. The index dropped 2.56% for the week, marking four consecutive weeks of declines. The Shenzhen Component Index fell 0.12%, while the ChiNext Index dropped 0.39%. Total trading volume for both markets amounted to 1.56 trillion yuan (RMB, same below), down 776 billion yuan, or 4.8%, compared to the previous trading day.

By sector, military trade and low-altitude economy-related stocks rallied collectively, with Guangdong Hongda (SZ:002683) and Great Wall Military Industry (SH:601606) hitting the daily trading limit. The aviation sector rose throughout the day, with Jiali Qi (SZ:301586) closing limit-up. Real estate stocks were also boosted by policy support, with New City Holdings (SH:601155) and China Merchants Shekou (SZ:001979) leading the gains. On the downside, AI marketing-related stocks continued to weaken, while innovative drug stocks plunged in the final session. WuXi AppTec (SH:603259) briefly hit the daily lower limit and ultimately closed down over 6%.

Looking back at the week, China and the EU reached a consensus on hybrid vehicle trade, planning to cap annual Chinese hybrid vehicle imports at 350,000 units, with quotas increasing annually. Four departments, including the Ministry of Industry and Information Technology, upgraded supervision on "fast-tracked vehicles," releasing a draft for public comment aimed at strengthening the management of automotive product innovation design and R&D testing verification. Additionally, the Ministry of Finance and the State Taxation Administration announced that the VAT export rebate rate for new-energy vehicles will be reduced to 9% starting next April, contributing to a 4% weekly decline in the auto sector. On the economic data front, China's September trade data exceeded expectations: exports in USD terms surged 36.3% year-on-year, the highest in seven months, while imports rose 30%, the highest in three months. The CPI year-on-year increase widened to 0.9%, slightly below expectations, while the PPI rose 5%, the highest in over four years. Meanwhile, September's new loans and aggregate social financing exceeded expectations, though M2 and M1 growth slowed. (wn)