Opening data
The Zhitong Finance App learned that on August 20, the Shanghai Index rose 0.33% to 3907.21 points, the Shenzhen Index rose 1.03% to 14032.97 points, the GEM index rose 1.27% to 3517.65 points, and the Science and Innovation 50 rose 1.08% to 1685.48 points. As of 9:35, a total of 4,359 companies in the two markets and the Beijing Stock Exchange had risen, 1,019 were down, and 170 were flat. The increase was highest: precious metals, biological products, medical services, accessories, industrial metals, medical devices, etc.; the decline was highest: defense and military, communications, electronics, banking, food and beverage, construction materials, etc.
Market conditions
The three major indices opened higher across the board today, recovering from the sharp decline on the previous trading day (August 19). Driven by a sharp rise in international gold prices overnight, the precious metals sector rose nearly 7%, while sectors such as biological products, medical services, and industrial metals registered the highest gains; Shenwan's first-tier industries such as defense and military, communications, electronics, and banking declined slightly. On the previous trading day, the Shanghai Index closed down 2.40% to 3894.42 points, the Shenzhen Index closed down 5.01% to 13890.15 points, and the GEM index closed down 6.26% to 3473.49 points. More than 5,000 individual stocks in the entire market fell. Market sentiment clearly rebounded after today's high opening.
Overnight quick facts
US stocks stopped falling and rebounded, and gold and silver surged: on August 19, the three major US stock indices collectively closed higher. The Dow rose 0.22%, the S&P 500 rose 0.21%, and the NASDAQ rose 0.16%, ending three consecutive declines. The US Treasury Department announced that the scale of long-term treasury bond repurchases has at least doubled. The yield on 30-year US bonds has fallen from a high of 5.31%, spot gold has risen by more than 4% to 4,500 US dollars, and silver has risen by about 5%.
The “15th Five-Year Plan” for health insurance was released, and policy tools were deployed at an accelerated pace: The National Health Insurance Administration issued the “Fifteenth Five-Year Plan” on August 19, making it clear that the basic health insurance participation rate will remain around 95%. On the same day, the Development and Reform Commission deployed coordination mechanisms for major “2+3+N” projects for computing power networks, new power grids, and next-generation communication networks. The investment of 800 billion yuan of new policy financial instruments has accelerated, and repurchase loans to increase stock holdings have already been issued over 210 billion yuan.
A number of companies disclosed repurchases and computing power orders: Hengrui Pharmaceutical plans to use 1 billion to 2 billion yuan to repurchase shares for employee stock ownership plans; Saiyi Information signed a 6.45 billion yuan high-performance computing power service contract, accounting for 311% of its 2025 revenue; China Micro plans to invest 3.5 billion yuan to build the second phase of the Lingang Industrialization Base, with net profit increasing 300% in the first half of the year; Northern Rare Earth's net profit in the first half of the year was 2,053 billion yuan, an increase of 120% over the previous year.
Trend analysis
Today, the three major indices opened higher across the board. The Shanghai Index opened 0.33% higher and the GEM Index opened 1.27% higher, forming a recovery from the sharp decline on August 19. Overnight, US stocks stopped falling and rebounded, and the US Treasury expanded treasury bond repurchases, driving 30-year US bond yields to fall from a high level of 5.31%. Combined with spot gold rising by more than 4% to 4,500 US dollars, this was directly driven by today's high opening, with precious metals, pharmaceuticals and other sectors leading the way.
On the market, the number of companies rose by more than 4,300, and the profit effect was about 78%. However, early strong sectors such as defense, military industry, communications, and electronics weakened slightly, and the continuation of the rebound still needed to be matched by trading volume. The institutional consensus bias is that this round of adjustments is due more to external liquidity disturbances and the settlement of profits in the technology sector. As US bond yields fall, domestic repurchase holdings increase, and policy tools increase, the repair market may still be expected to continue, mainly in the short term.