Hong Kong stocks surge collectively in the automotive sector, Geely jumps 5%, A-shares plunge and turn red, computing power stocks tumble sharply

How AI and NVIDIA’s New Chips Are Reshaping the Market Landscape for Computing Power

Reporter | Jiang Peixia, Intern Reporter | Lin Qianwei

Editor | Xie Zhen

On March 17, the A-share market opened higher but then pulled back, with all three major indices turning red. By midday, the Shanghai Composite Index fell 0.04%, the Shenzhen Component Index dropped 0.4%, the ChiNext Index declined 0.58%, and the STAR Market Index decreased by 0.72%. The market was quite mixed, with over 3,200 stocks declining.

In terms of sectors, green energy concepts were active again, with China Power LiaoNeng hitting two consecutive daily limit-ups, energy-saving wind power rising for five days with three limit-ups, and Jiangsu New Energy and Zhejiang New Energy hitting the daily limit. The real estate sector rose during the session, with Zhongzhou Holdings and China Energy Investment Corporation hitting the limit. Space photovoltaic concepts surged rapidly, with GCL System Integration and Yabo Co., Ltd. hitting the limit. The steel sector was active, with Anyang Steel and Jiu Steel Hongxing both hitting the limit.

Major financial stocks strengthened, with Aijian Group hitting the limit. Guosen Securities, East Money, Huijin Shares, GF Securities, The Compass, Dazhi, and Wealth Trends also rose, with Hangzhou Bank reaching a record high during the session. Hotel, catering, insurance, brewing, and banking sectors led the gains.

On the downside, the computing power sector, including optical modules, optical communications, and optical chips, led the decline, with Tianfu Communication falling over 9%, and many stocks like Guangku Technology dropping sharply. News-wise, NVIDIA’s GTC conference kicked off last night, with Jensen Huang delivering a blockbuster speech! NVIDIA announced seven new chips, making Huang’s speech a trending topic.

Additionally, sectors such as agriculture, mineral products, communication equipment, coal, and petrochemicals saw significant declines.

In Hong Kong markets, as of midday, the Hang Seng Index rose 0.98%, and the Hang Seng Tech Index increased by 1.34%.

Hong Kong auto stocks performed strongly, with Geely Auto and Chery Auto up over 5%, Leap Motor up over 4%, Li Auto and NIO up over 3%, and BYD shares up over 2%.

News-wise, NVIDIA announced at GTC that it will collaborate with automakers including BYD, Geely, Hyundai, Nissan, and Isuzu to develop Level 4 autonomous vehicles on the NVIDIA DRIVE Hyperion platform.

Yao Cai Securities’ stocks surged after resuming trading, soaring by 82% at one point during the session. As of 11:25, the increase was 69%, with an overall jump of 82%! Ant Group’s securities are coming. Brokerage stocks also gained, with CITIC Securities up over 7%, GF Securities up over 5%, and Guotai Junan International up over 4%.

Furthermore, most consumer stocks rose, with Chow Sang Sang up over 6%, Li Ning, Miniso, and Pop Mart up over 4%. The innovative medicine sector fluctuated higher, with San Sheng Pharmaceutical up over 7%, and Rongchang Biotech and Juzhi Biotech also gaining.

Energy sectors such as oil and coal declined, while semiconductor stocks, which had surged yesterday, pulled back, with GigaDevice falling over 5% and Huahong Semiconductor down more than 1%.

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(Note: The content of this article is for informational purposes only and does not constitute investment advice. Investors operate at their own risk.)

Produced by | 21 Financial Client, 21st Century Business Herald