Institutions say the market is in a gestation period for a rebound, with earnings certainty becoming the main line for allocation.

Last week, A-shares continued their volatile and weakening trend, with technology growth sectors such as computing power hardware, semiconductors, and CPO undergoing sustained adjustments, while the CSI Dividend Index rose against the trend, and heavyweight sectors including banks, petroleum and petrochemicals, coal, and food and beverages were relatively resilient. Entering November, market sentiment warmed up first. On November 2, major A-share stock indices rebounded collectively. Institutional figures interviewed by reporters believe that with external liquidity remaining tight and short-term risk appetite still suppressed, the market will inevitably see fluctuations, but A-shares are in the gestation period of a rebound rather than at the end of the rally. Third-quarter earnings continue to recover, and industrial capital is using real money to buy back and increase holdings, confirming the bottom area and constituting medium-term support; as external uncertainties clear, risk appetite is expected to recover. In terms of strategy, institutions recommend using dividend assets as a foundation and high-performing growth stocks to follow through, seizing the short-term repair window, anchoring to earnings certainty over the medium term, and positioning along the trend amid the recovery in risk appetite.