Counterattack incoming! On October 9th, A-shares staged a dramatic intraday reversal. The Shanghai Composite Index lost the 3800-point mark in early trading, and the ChiNext Index fell more than 3% to a new low for the year. In the afternoon, the three major indices pulled up together and ultimately closed in the green collectively. Total market turnover reached 1.92 trillion yuan, marking a second consecutive day of increased volume. Brokerages, absent for a long time, carried the banner and were the first to defend the market, with the underlying index of the Brokerage ETF Huabao (512000) surging rapidly by 2.46%! Fintech quickly took the baton and attacked with high elasticity, as the underlying index of the Fintech ETF Huabao (159851) rose more than 4% on heavy volume. The AI sector showed divergence between "software and hardware." AI applications exploded in the afternoon, with the underlying index of the Software Development ETF Huabao (159036) surging 3.97%, and the ChiNext Artificial Intelligence ETF Huabao (159363), which covers both optical module leaders and AI applications, staged a deep-V rebound with an amplitude of 6.27%. Low-level Hong Kong AI stocks also made a synchronized comeback, with Xiaomi Group-W leading the gains at 9.72%, and the underlying index of the Hong Kong Internet ETF Huabao (513770) surging 3.67%. On the AI hardware side, the market entered deep water before noon, then fought to save itself in the afternoon. The STAR Chip Index pulled up after probing 5.34% lower, and the STAR Chip ETF Huabao (589190), which tracks this index, stubbornly closed flat. Hong Kong hard tech also rebounded synchronously, with the underlying index of the Hong Kong Stock Connect Information Technology ETF Huabao (159131) closing up 2.11%. Amid geopolitical easing and cooling rate hike expectations, gold stocks stirred, with Western Region Gold hitting the daily limit. The non-ferrous metals sector was greatly boosted, and the underlying index of the Non-Ferrous Metals ETF Huabao (159876), which captures leaders across the non-ferrous metals industry, probed 2.85% higher and closed up 2.54%. In the two trading days after the holiday, A-shares experienced both a deep adjustment and a volume-driven stabilization. How should we view the market going forward? Huaxin Securities believes that A-shares may see震荡 repair, with attention on trading volume and third-quarter earnings, seizing structural opportunities within the震荡 market, continuing the technology plus dividend barbell strategy, and also considering policy-beneficiary directions. Sector focus: 1) Technology repair (AI computing power, AI applications, AI power, innovative drugs, robotics, commercial aerospace, etc.); 2) Dividend defense (banks, coal, transportation, utilities, etc.); 3) Policy tailwinds (power grid equipment, building materials, etc.). [ETF Know-It-All Hotspot Review] Below, we focus on the trading and fundamental situations of several thematic sectors including fintech, non-ferrous metals, and Hong Kong internet. One: Deep squat and jump! After probing a near two-year low, the underlying index of the Fintech ETF (159851) reversed and rose more than 4%! Dazhihui and Ge'er Software hit the daily limit. The fintech sector reversed and pulled up, with widespread gains across the board, and sub-directions such as internet finance and AI finance all strengthened. The Fintech ETF Huabao (159851) saw a clear surge in on-market热度, with its underlying index probing a near two-year low in the morning, then turning positive and climbing in the afternoon, closing up more than 4%. Among them, Dazhihui and Ge'er Software hit the daily limit, Tianyang Technology rose more than 12%, Digital Certification and Airong Software rose more than 8%, and eight stocks including Fortune Trend, Zhongke Jiangnan, Shuiyou Co., Kelan Software, and Yingshisheng rose more than 5%. Combining recent market dynamics and capital behavior, the fintech sector is welcoming a dense catalyst of multiple positive factors, and at the current juncture, it is worth re-evaluating its allocation value from a structural perspective. Specifically, the sector is forming a three-dimensional resonance pattern of "positive catalysts—AI empowerment—oversold repair": First, brokerage positives are being released intensively, and the fintech direction is strengthening in tandem. International rating agencies have upgraded the ratings of leading brokerages, cancellation-style buybacks have become normalized, sci-tech innovation policies have landed, and brokerage valuations and business expectations have improved. As the core carrier of brokerage IT and internet brokerages, fintech was fully adjusted in the earlier period and exploded in the afternoon, with Dazhihui hitting the daily limit, and Hithink RoyalFlush and East Money following the rally, with capital attention heating up. Second, "AI plus finance" commercialization expectations are rising and are expected to become the next stage's catalyst. The recent successful landing of China's first AI long drama marks that AI applications are moving from technical verification into large-scale commercial deployment. As one of the application scenarios where AI empowerment is most direct and the data foundation is most solid, fintech has broad room for penetration improvement in areas such as intelligent investment research, risk control modeling, and automated operations, and is expected to gain excess elasticity in the wave of AI application diffusion. Third, the valuation repair momentum after oversold conditions is accumulating. As of October 9, 2026, the fintech index has fallen more than 31% year-to-date, with both adjustment time and space being relatively sufficient, and the current valuation has fallen significantly. Along with overall market rotation, capital attention to low-valuation, high-beta sectors has rebounded somewhat, and the momentum for an oversold rebound may have entered an accumulation phase. Once sentiment reverses, the upward elasticity of the fintech sector deserves close attention. In terms of allocation tools, the Fintech ETF Huabao (159851) and its feeder funds (Class A 013477, Class C 013478) have an index heavily weighted in computers plus non-bank finance, covering popular themes such as internet brokerages, financial IT, cross-border payments, and AI applications, and possess both financial cyclical and technology growth attributes. Two: Geopolitical easing plus cooling rate hike expectations, spot gold stands above $4,200! Western Region Gold hits the daily limit, and the tracked index of the Non-Ferrous Metals ETF Huabao (159876) probes as high as 2.85%. The non-ferrous metals sector pulled up in the afternoon with unusual movement, once leading the market. The tracked index of the Non-Ferrous Metals ETF Huabao (159876), which captures leaders across the non-ferrous metals industry, probed as high as 2.85% and closed up 2.54%, strongly recovering the 5-day moving average. Along with the hot行情, capital attention increased significantly. The ETF's full-day turnover was 98.66 million yuan, up 43% quarter-on-quarter, with hot trading! Among constituent stocks, gold leaders led the gains significantly, with Western Region Gold hitting the daily limit, Shanjin International up more than 7%, and stocks such as China Gold and Chifeng Gold following up substantially. In addition, Youyan New Materials rose more than 7%, and Western Superconducting and Zijin Mining rose more than 4%. Chart: Top 10 constituent stock gainers of the Non-Ferrous Metals ETF Huabao (159876). Multiple pressures eased, and spot gold stood above the key $4,200/ounce mark intraday: 1. Geopolitical easing: Trump stated on October 8 that the U.S. would not attack Iran before the November congressional midterm elections. The "oil price-inflation" concerns previously pushed up by Middle East tensions have eased accordingly, and the tightening expectation pressure over precious metals has been significantly reduced. 2. Dollar weakening: The dollar's previous rally temporarily paused, and the benchmark 10-year U.S. Treasury yield fell for a second consecutive trading day, providing more room for dollar-denominated gold. 3. Cooling rate hike expectations: The minutes of the Federal Reserve's September meeting showed a strong consensus for a rate hike before year-end, but no rush in October. Fed Governor Waller made dovish remarks, saying there is still a need to raise rates to suppress inflation, but not necessarily at consecutive policy meetings. Guosheng Securities believes the Fed will most likely pause rate hikes in October*. Kenny Zhu, Director of Research and Investment Strategy at Sprott, pointed out that despite the sharp rise in bond yields, gold has held its range and continued to attract inflows, indicating allocation demand exists at current price levels. The rebound in gold, in the short term, is a timely boost from positive U.S.-Iran talks and a weaker dollar, while in the medium-to-long term, it is a structural行情 jointly supported by global central bank gold purchases and the de-dollarization wave. The narrative of gold as a substitute for dollar credit is being verified by more and more data and facts, and the outlook for gold remains bullish. *[Computing Power Era, Non-Ferrous as the Foundation] The Non-Ferrous Metals ETF Huabao (159876) and its feeder funds (Class A: 017140, Class C: 017141) comprehensively cover industry leaders in copper/aluminum/rare earth/gold/lithium/tungsten/molybdenum/tin, with heavyweight stocks including Zijin Mining, China Molybdenum, Northern Rare Earth, and Aluminum Corporation of China. The 2026 interim report performance shows that all 60 constituent stocks achieved profitability, and nearly half of the constituent stocks saw net profit attributable to parent company growth of more than 100% year-on-year, providing solid support with strong fundamentals. Moreover, the number of constituent stocks is significantly higher than similar non-ferrous indices (30-50 stocks), allowing better coverage of semiconductors and new materials. For investors bullish on both technology and non-ferrous metals, this ETF is an efficient tool to gain one-click exposure to the non-ferrous metals industry and capture sector beta行情. Three: Low-level Hong Kong AI stabilizes first, the underlying index of the Hong Kong Internet ETF Huabao (513770) surges 3.6%, and Xiaomi Group-W rises nearly 10%. Hong Kong stocks reversed and surged, with the Hang Seng Tech Index closing up 3%, internet leaders collectively strengthening, Xiaomi Group-W leading the gains at 9.72%, Tencent Holdings, Meituan-W, and NetEase up more than 3%, and Alibaba-W up more than 2%. The Hong Kong Internet ETF Huabao (513770) rose on increased volume, with its underlying index surging 3.67%. Several internet leaders released positive fundamental signals. Xiaomi officially announced that in the first month of the Pengcheng series launch, locked orders exceeded 70,000 units, directly driving Xiaomi Auto's overall September deliveries to exceed 40,000 units for the first time. Galaxy Securities pointed out that Xiaomi Auto's second-quarter sales grew against the trend, losses narrowed quarter-on-quarter, and the extended-range new products Pengcheng N70/N90 have strong potential, expected to drive the company's auto business to continue improving. Coupled with outstanding AI model performance and明显 progress in robotics capabilities, it is expected to bring new growth momentum. * In addition, Alibaba provided the latest quarterly performance guidance, with Alibaba Cloud continuing to accelerate growth, and the profit side of the e-commerce main business exceeding expectations. CICC expects Alibaba's cloud computing revenue to grow 53% year-on-year in the second quarter of fiscal year 2027, and cloud revenue in fiscal year 2028 will still maintain year-on-year growth of more than 50%; it is expected that the cloud business EBITA margin this quarter will reach 13.3%, higher than market expectations. * Affected by overseas liquidity disturbances, the Hong Kong internet sector has recently pulled back significantly. As of October 8, the price-to-earnings ratio PE (TTM) of the CSI Hong Kong Stock Connect Internet Index was only 19.66 times, located at the 6.69th percentile over the past 10 years, highlighting medium-to-long-term allocation cost-effectiveness. With the continuous development of AI and accelerated commercialization, the Hong Kong internet sector is expected to usher in strategic investment opportunities under the combined effect of earnings and valuation repair. The Hong Kong Internet ETF Huabao (513770) passively tracks the CSI Hong Kong Stock Connect Internet Index, heavily weighted in internet leaders, with the top two holdings Tencent Holdings and Alibaba-W together accounting for more than 30% weight, and the top ten constituent stocks together accounting for more than 80%, with significant leader advantages. It supports intraday T+0 trading and has good liquidity. Off-market investors can follow the feeder funds (Class A 017125, Class C 017126). [Data Source] CSI Index Company, Shanghai-Shenzhen-Hong Kong Stock Exchanges, iFind, etc. [Institutional Views] Huaxin Securities 20261007 "Top Ten Golden Stocks in October: October Strategy and Top Ten Golden Stocks." Two: Sprott's September 8 report "Weakening Fiscal Credibility, Gold and Silver Prices Surge"; Guosheng Securities' September 17 report "Test of Independence—Signals and Prospects of the Fed Restarting Rate Hikes." Three: Galaxy Securities 260825 "Xiaomi Group-W (1810.HK): Auto Business Losses Narrow, AI Layout Deepens"; CICC 261009 "Maintain Alibaba-W (09988) 'Outperform Industry' Rating, Expect Second Fiscal Quarter Non-GAAP Net Profit Attributable to Parent to Exceed Expectations." [Fund Fee Rates] ETF funds do not charge sales service fees. When investors subscribe or redeem fund shares, the subscription/redemption agent broker may charge a commission of no more than 0.5%, which includes related fees charged by stock exchanges, registrars, etc. Fund fee rates are detailed in each fund's legal documents. [Special Reminder] According to the fund manager's assessment, the risk levels of the ChiNext Artificial Intelligence ETF Huabao, STAR Chip ETF Huabao, Hong Kong stock ETFs and their feeder funds are all R4-medium-high risk, suitable for aggressive (C4) and above investors. The risk levels of the other funds mentioned in this article are all R3-medium risk, suitable for balanced (C3) and above investors. The suitability matching opinions should be based on the sales institution. [Risk Warning] The Fintech ETF Huabao passively tracks the CSI Fintech Theme Index. The index base date is 2014.6.30, and the publication date is 2017.6.22. The annual historical returns of the CSI Fintech Theme Index from 2021 to 2025 are: 7.16%, -21.40%, 10.03%, 31.54%, 18.04%, and the annualized volatility for the same period is 24.92%, 29.41%, 27.07%, 53.47%, 34.54%. The Hong Kong Internet ETF Huabao and its feeder funds passively track the CSI Hong Kong Stock Connect Internet Index. The index base date is 2016.12.30, published on 2021.1.11. The returns of the CSI Hong Kong Stock Connect Internet Index over the past 5 complete years are: 2025, 27.02%; 2024, 23.04%; 2023, -24.74%; 2022, -23.01%; 2021, -36.61%; the volatility over the past 5 complete years is: 2025, 33.60%; 2024, 43.49%; 2023, 32.09%; 2022, 49.01%; 2021, 38.72%. The composition of index constituent stocks is adjusted in due course according to the index compilation rules, and its back-tested historical performance does not predict the future performance of the index. The individual stocks mentioned in this article are only objective展示 enumerations of index constituent stocks, not recommendations for any individual stocks, and do not represent the fund manager or fund investment direction. Any information appearing in this article (including but not limited to individual stocks, comments, forecasts, charts, indicators, theories, any form of expression, etc.) is for reference only, and investors must be responsible for any investment decisions they make independently. In addition, any views, analyses, and forecasts in this article do not constitute investment advice of any form to readers, and the company assumes no direct or indirect liability for losses caused by the use of the content of this article. Investors should carefully read fund legal documents such as the "Fund Contract," "Prospectus," and "Fund Product Information Summary" to understand the risk-return characteristics of the fund and choose products suitable for their own risk tolerance. The past performance of a fund does not predict its future performance, and the performance of other funds managed by the fund manager does not constitute a guarantee of the fund's performance. Sales institutions (including the fund manager's direct sales institution and other sales institutions) conduct risk assessments of the above funds in accordance with relevant laws and regulations. Investors should promptly pay attention to the suitability opinions issued by the fund manager. The suitability opinions of various sales institutions are not necessarily consistent, and the fund product risk rating evaluation results issued by fund sales institutions shall not be lower than the risk rating evaluation results made by the fund manager. There are differences between the fund's risk-return characteristics and fund risk rating in the fund contract due to different consideration factors. Investors should understand the risk-return situation of the fund, carefully select fund products in light of their own investment objectives, horizons, investment experience, and risk tolerance, and bear risks themselves. The China Securities Regulatory Commission's registration of the above funds does not indicate that it has made a substantive judgment or guarantee on the investment value, market prospects, and returns of the above funds. Fund investment must be cautious. MACD golden cross signals have formed; these stocks are rising well!