A-share Pre-market Briefing | Fed Holds Rates Steady, Oracle Surges Over 10%

Pre-market Briefing 1. Fed Holds Rates Steady; Nasdaq Closes Up 0.27% Type: Market | Sentiment Impact: Positive The Federal Reserve voted 10-2 to keep the benchmark interest rate in the 3.75%-4% range, in line with widespread market expectations. Governor Cook and Cleveland Fed President Hammack dissented, advocating for a rate hike. The three major U.S. stock indices all closed higher, with the Nasdaq up 0.27%, the Dow up 0.19%, and the S&P 500 up 0.28%. The AI cloud services and storage sectors strengthened, with Oracle surging over 10% and SK Hynix up over 13%. The "Magnificent Seven" tech giants closed mixed, with Google up 1.70%, Nvidia down 1.17%, and Meta Platforms down 1.23%. International oil prices rose, with December-delivery WTI crude futures up 2.9% to settle at US$102.78 per barrel. 2. All RMB800 Billion of 2026 New Policy-Based Financial Instruments Fully Deployed Type: Macro | Sentiment Impact: Positive According to disclosures from the three policy banksChina Development Bank, the Export-Import Bank of China, and the Agricultural Development Bank of Chinaas of October 28, all of the 2026 new policy-based financial instruments had been fully deployed, totaling RMB800 billion. The instruments were deployed by the three policy banks to supplement project capital. The full deployment of the RMB800 billion quota means the funds have reached the project level. 3. Beijing Issues "15th Five-Year Plan" New Energy System Plan; New Energy Storage Installation Target of 600,000 kW Type: Industry | Sentiment Impact: Positive The Beijing Municipal People's Government issued the "Beijing New Energy System Plan for the 15th Five-Year Plan Period." The plan proposes expanding photovoltaic technology innovation application scenarios, focusing on the R&D and equipment manufacturing of perovskite CECEP Solar Energy cells and high-efficiency PV modules, and promoting building-integrated photovoltaics; advancing the cluster development of the new energy storage industry, promoting R&D of solid-state, flow, and other battery technologies, with new energy storage installed capacity to reach 600,000 kW. 4. 186 STAR Market Companies Disclose Q3 Reports; Combined Net Profit RMB38.953 Billion, Up 57.39% YoY Type: Industry | Sentiment Impact: Positive According to Shanghai Stock Exchange data, as of October 27, a total of 186 STAR Market companies had completed disclosure of their Q3 reports, with combined revenue of RMB426.676 billion, up 31.54% year-on-year, and combined net profit of RMB38.953 billion, up 57.39% year-on-year. Meanwhile, public fund Q3 reports showed that as of the end of Q3, total public fund assets under management stood at nearly RMB39.3 trillion, and Zhongji Innolight remained the top holding of both public funds and actively managed equity funds. Investment Calendar October 29: Ministry of Commerce holds its second routine press conference of October Institutional Views 1. CITIC SEC: Still expects the Fed to hike another 25bps in December; the terminal rate of this hiking cycle may not be far from current levels 2. SDIC Securities: Zero liquidity injection throughout BNSF operations helps break the "redemptionselling" negative feedback loop 3. Huafu Research: Physical AI is accelerating; focus on investment opportunities in the data collection segment Positive/Negative Outlook 1. Bank of Canada December Rate Decision Type: Policy Focus TD Securities: Expects the Bank of Canada to hike again in December; this hiking cycle may end after the rate rises to 2.75% 2. AI Drug Discovery Industrialization Advances Type: Institutional Commentary Sinolink: AI drug discovery can compress R&D cycles by 50%-90%; total global AI drug discovery deal value exceeded US$50 billion in the first half of 2026 3. The Next Phase of the AI Narrative for U.S. Tech Stocks Type: Market Discussion CITIC SEC: Easing of inference compute constraints and the release of new models are expected to expand AI application scenarios and drive leading model makers' ARR back onto an upward trajectory Announcement Briefs Positive Announcements 1. Zhejiang Century Huatong Group: Plans to repurchase shares, with total funds of RMB300 million to RMB600 million 2. Shenzhen Strongteam Decoration Engineering: Plans to repurchase shares, with total funds of RMB75 million to RMB150 million 3. Yankuang Energy Group: Controlling shareholder Shandong Energy Group increased its holdings by 706,900 shares, with an increase amount of RMB12.7637 million Negative Announcements 1. Shanghai Supezet Engineering Technology Corp., Ltd.: Closing market value below RMB300 million for 20 consecutive trading days, triggering delisting; shares suspended from trading at market open on October 29 2. China Western Power Industrial: Discloses risk warning announcement that its shares may be delisted 3. HangZhou Radical Energy-Saving Technology: Terminates implementation of the 2025 restricted stock incentive plan and cancels granted but unvested restricted shares Overseas Markets The three major U.S. stock indices all closed higher, with the Nasdaq up 0.27%, the Dow up 0.19%, and the S&P 500 up 0.28%. The Federal Reserve voted 10-2 to keep rates unchanged at 3.75%-4%. The AI cloud services and storage sectors strengthened, with Oracle surging over 10% and SK Hynix up over 13%. The "Magnificent Seven" tech giants closed mixed, with Google up 1.70% and Nvidia down 1.17%.