Semiconductor and memory chip sectors surged significantly, with Huahong Semiconductor, a 200 billion yuan company, rising over 16% at one point, single-handedly driving tech stock inflows! This also boosted market sentiment and profit-taking effects.

The main catalyst was a piece of news: According to sources, China's Huahong Semiconductor has developed 7nm chip manufacturing technology. This was reported by foreign media, and its authenticity cannot be confirmed yet! However, funds have already responded to the news, suggesting the market finds it credible!

I believe the possibility is quite substantial. Combined with weekend news that the Trump administration withdrew its AI chip global export ban draft, it indicates that our domestic chip technology is making rapid breakthroughs. America's strategy has always been: if you haven't achieved a breakthrough, we'll block you; once you're about to break through, we'll bring American chips in to compete and suppress your mass production.

After all, Huahong's 7nm process technology breakthrough alone isn't enough—it still needs high yield rates, capacity ramp-up, and production scaling, which are the real tests ahead! Regardless, the market will interpret this as a major breakthrough in the "bottleneck" segment of domestic semiconductors. Market risk appetite is rising, which is indeed beneficial for self-sufficient tech chains! The main beneficiaries are upstream (semiconductor equipment, materials), midstream (advanced processes, packaging and testing), and downstream terminal applications (AI, consumer electronics), etc.

Now the US and China have taken two different paths. We're focusing on developing technology and new energy, while the Trump administration is competing for oil globally (traditional energy). For A-shares, investors still need to follow policy direction—technology and new energy should still take priority over traditional energy!