On May 6th, by midday, the three major indices collectively rose. The Shanghai Composite Index increased by 1.05%, the Shenzhen Component Index by 2.05%, and the ChiNext Index by 2.18%. Synthetic biology concept stocks showed strong performance, with graphite electrode and liquor sectors leading the gains, while real estate stocks experienced a rise and fall, and the education and tourism sectors adjusted. More individual stocks rose than fell, with over 4,500 stocks increasing.

Let's review the market hotspots from the morning.

**Synthetic Biology Concept Stocks Show Strong Performance**

By midday, Weilan Bio had achieved four consecutive trading day gains, Chuanning Bio and Bo'en Group had two consecutive trading day gains, and Shengda Bio was at its daily limit up.

In terms of news, according to recent reports from Wuxi Daily, the Synthetic Biology Innovation Team of the Future Food Science Center at Jiangnan University, using synthetic biology technology and microbial fermentation, produced hyaluronic acid with a common molecular weight, reducing the cost to several hundred yuan per kilogram, achieving large-scale promotion and application of hyaluronic acid.

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**Liquor Sector Leads in Gains**

By midday, Jiugui Liquor was at its daily limit up, Shede Alcohol Industry increased by over 7%, Shuijingfang by over 6%, and Luzhou Laojiao, Kouzi Jiao, and Jinzhong Liquor followed with gains.

Shenwan Hongyuan Securities believes that the annual and first-quarter reports of Kweichow Moutai, Shanxi Fenjiu, Gujing Gongjiu, and Yingjia Gongjiu show bright performance, and it is expected to continue to drive the current sector's recovery and upward movement. The industry still faces the pressure of inventory reduction and price support within the year. After the market quickly digests the first-quarter report performance, inventory and wholesale prices remain important indicators for investors to observe.

**Real Estate Stocks Rise and Fall**

By midday, Nanguo Property had achieved five consecutive trading day gains, Hua Yuan Real Estate had three consecutive trading day gains, and Sunshine Stock was at its daily limit up.CITIC Securities stated that under the policy of "digesting existing housing," the investment confidence throughout the entire real estate industry chain will be restored. They are optimistic about transaction service providers, leading property service companies, and real estate development enterprises that have fully exchanged land after 2022, with a more complete digestion of historical burdens, holding core assets, and ensuring development quality.

【National Development and Reform Commission (NDRC) Director Zheng Shanjie presided over a special symposium to communicate with private enterprises on large-scale equipment updates】

Recently, Zheng Shanjie, Director of the NDRC, chaired the 2nd special symposium on large-scale equipment updates and consumer goods replacement, discussing with the heads of private enterprises such as Tianneng Holding Group, Xizi United, United Imaging, and Kangli Elevator. They listened carefully to the entrepreneurs' demands and suggestions for large-scale equipment updates and had an in-depth discussion on the next steps to promote related work.

Zheng Shanjie stated that the NDRC will strengthen overall coordination and work with relevant departments and local governments to arrange central investment to support equipment updates and recycling projects that meet the conditions. They will use a combination of fiscal, tax, and financial policies, strengthen element guarantees, and promote the industry to move towards "new" directions. At the same time, equipment updates will also focus on tilting towards the livelihood sector, improving the quality of public services, and increasing the comfort of people's lives, allowing a broad range of enterprises and the public to share the dividends of China's high-quality development.

【Ministry of Finance: The total profit of state-owned and state-controlled enterprises increased by 2.8% year-on-year in the first quarter】

The Ministry of Finance released the economic operation of state-owned and state-controlled enterprises from January to March. From January to March, the total operating income of state-owned and state-controlled enterprises increased by 3.2% year-on-year, and the total profit increased by 2.8% year-on-year. From January to March, the total operating income of state-owned enterprises was 19,811.18 billion yuan, a year-on-year increase of 3.2%; the total profit was 1,075.76 billion yuan, a year-on-year increase of 2.8%; the taxes payable by state-owned enterprises were 1,603.06 billion yuan, a year-on-year increase of 0.9%. At the end of March, the debt-to-asset ratio of state-owned enterprises was 65.0%, an increase of 0.3 percentage points.

【Global manufacturing PMI in April was 49.9%, a decrease of 0.4 percentage points from the previous month】

The China Federation of Logistics and Purchasing announced the global manufacturing Purchasing Managers' Index (PMI) for April. The index change shows that the global economic growth rate in April has slowed down compared to the previous month, but it has basically continued a moderate recovery trend.

The global manufacturing PMI in April was 49.9%, a decrease of 0.4 percentage points from the previous month, slightly higher than the average of 49.6% in the first quarter.

【More than 8 million people entered and exited the country during the "May Day" holiday, a 35.1% increase compared to the same period last year】According to statistics from the National Immigration Administration, during this year's "May Day" holiday, a total of 8.466 million Chinese and foreign personnel were facilitated for entry and exit nationwide, a 35.1% increase compared to the same period last year. The peak of daily entry and exit clearance occurred on May 3rd, reaching 1.801 million people. Among them, mainland residents made 4.768 million entries and exits, a 38% increase from the same period last year; residents from Hong Kong, Macao, and Taiwan made 2.919 million entries and exits, a 20.8% increase from the same period last year; foreigners made 779,000 entries and exits, a 98.7% increase from the same period last year.

【1.527 billion, 37.77 million movie attendance, May Day box office sets new records】

According to statistics from the National Film Administration, during the May Day holiday in 2024 (May 1st to May 5th, 2024), the national box office revenue was 1.527 billion yuan, with 37.77 million movie attendances, both exceeding the same period last year. The top 5 films in terms of holiday box office were: "Peacekeeping and Anti-riot Team" with 406 million yuan, "Spending Frenzy at the End of the Road" with 392 million yuan, "Kowloon Walled City: Siege of the City" with 255 million yuan, "Spy Family: Code Name White" with 196 million yuan, and "Howl's Moving Castle" with 103 million yuan. As of May 5th, 2024, the total annual box office was 20.124 billion yuan, with domestic films accounting for 83.76% of the share.

【The People's Bank of China Shanghai Headquarters and nine other departments jointly hold a special meeting on Shanghai's financial support for large-scale equipment updates and consumer goods replacement】

On April 30th, the People's Bank of China Shanghai Headquarters, in conjunction with the Shanghai Municipal Party Committee's Financial Office, the Municipal Development and Reform Commission, the Municipal Economic and Information Commission, the Municipal Science and Technology Commission, the Municipal Finance Bureau, the Municipal Transportation Commission, the Municipal Agriculture and Rural Affairs Commission, and the Shanghai Regulatory Bureau of the Financial Regulatory Authority, held a special meeting on Shanghai's financial support for large-scale equipment updates and consumer goods replacement. Heads of relevant departments from 21 national banks' Shanghai (city) branches attended. The meeting emphasized that major commercial banks should quickly establish internal working mechanisms, optimize business processes, strengthen communication with industry authorities, accelerate the docking of enterprise lists and project lists, adhere to market-oriented and legal principles, make independent decisions and bear risks in loan issuance, and promote the effectiveness of large-scale equipment updates and consumer goods replacement with first-class comprehensive financial services.