【Daily Market Review】The Shanghai Composite Index rose by more than 1%, returning to 3,900 points. Across the whole market, more than 100 stocks hit the daily limit for two consecutive days, with computing power and green energy continuing to surge.

Caixin News, March 25—The market saw a volatile rebound. The Shanghai Composite Index rose more than 1%, reclaiming the level above 3,900 points, and the ChiNext Price Index rose more than 2%. Total trading value across the Shanghai and Shenzhen markets was 2.18 trillion yuan, up by 97 billion yuan from the previous trading day. On the board, market hotspots rotated quickly, with more than 4,800 stocks across the whole market rising; among them, 105 stocks hit the daily limit. There were “100-stock daily limit-ups” for two consecutive trading days. By sector, the power sector surged: the green energy concept led the gains, with more than a dozen constituent stocks hitting the daily limit. Huadian Liaoneng notched an 8-day streak of daily limit-ups; Shaoneng Co., Ltd. achieved 5 limit-ups in 6 days; and Yue Dian Li A delivered 4 limit-ups in 6 days. On the compute leasing concept, the trend strengthened, and E.linking Technology, Oruide, Litong Electronics, and Dayi Technology all hit the daily limit. The CPO concept was active: MINGPUP Optical & Magnetic, Alared, and Keyuan Technology hit the daily limit. The fiber optic concept saw a pull-up and rally: Tongding Interconnect achieved two consecutive daily limit-ups, and Tefaxin Information sealed the daily limit. On the downside, oil and gas stocks were relatively weak, and Keli Shares and Tongyuan Petroleum fell. By the close, the Shanghai Composite Index rose 1.3%, the Shenzhen Component rose 1.95%, and the ChiNext Price Index rose 2.01%.

Sector-wise

The optical communication concept strengthened again, with the fiber optic concept leading the gains. Individual stocks such as Weike Technology, Yangtze Optical Fibre and Cable, Tongding Interconnect, Yangtze River Communications, Hangdian Co., Ltd., and others all hit the daily limit, while stocks such as Changguang Huaxin, Changying Tong, and Hengtong Optic-Electric saw relatively higher gains.

On the news front, our country refreshed its optical communications transmission record. For the first time, using 10.3 kilometers of 24-core single-mode fiber, it achieved a real-time bidirectional transmission capacity of 2.5 petabits per second (Pb/s). In addition, entering March, amid demand convergence driven by drones and AIDC construction, the price of G.657.A2 fiber has broken through 210 yuan per fiber-kilometer, completely shattering the historical price ceiling.

China Galaxy Securities pointed out that, currently, due to factors such as the rapid development of AI and compute networks and the high difficulty of capacity expansion, fiber optic prices have continued to rise. On the demand side, intelligent computing centers have seen a significant increase in demand for items such as DCI and all-optical networks. Meanwhile, on the supply side, although the global cycle for expanding optical preforms is relatively long (the optical preform rod expansion cycle is about 2 years), against the backdrop of price pressure earlier, overall capacity expansion has been relatively conservative; it is expected that fiber optic cable prices still have potential for further price increases.

The compute leasing direction also performed strongly. Litong Electronics, Tefaxin Information, Dayi Technology, and Zhongjia Bochuan all hit the daily limit, while stocks such as Huahuan New Net, Orient Guoxin, WusP Technology, and Aofei Data led the gains.

On the news front, Liu Rihong, Director of the National Data Bureau, said that Token provides quantifiable possibilities for the rollout of a business model; and from an official perspective, it has also given a translation for Token—“word token.” He also noted that in early 2024, China’s average daily Token (word token) call volume was 100 billion; by the end of 2025, it rose to 100 trillion; and in March this year it has already exceeded 140 trillion—an increase of more than 1,000 times over two years.

However, it is important to note that compute leasing has previously experienced repeated games of back-and-forth trading and is itself a direction with deep capital involvement. Therefore, when a rally driven by positive catalysts lifts prices today, some popular high-profile leaders have still emerged with a certain amount of profit-taking selling pressure. For the sector as a whole to open a new round of uptrend from here may be difficult. It is expected that this theme will continue to unfold in the form of localized activity in individual stocks going forward.

Individual stocks

Today’s market sentiment continued to recover. Over the past two consecutive trading days, more than 100 stocks have hit the daily limit. With the green energy sector continuing to surge, high-level consecutive limit-up stocks continued the hot money-making effect. Among them, Huadian Liaoneng pushed the market’s height further to an 8-day, 8-board streak; Shaoneng Co., Ltd. achieved 5 boards in 6 days; Huadian Energy achieved 7 boards in 12 days; and Yue Dian Li A delivered 4 boards in 6 days. However, it should be noted that after two consecutive days of more than 10 stocks hitting the limit in the power sector, short-term sentiment may head toward a peak. Once tomorrow lacks sufficient capital to take over, it is expected that some individual stocks may fall behind first due to differences in capital positioning. For short-term responses, it is advisable to adhere to the principle of “cutting weakness and holding strength.”

With compute hardware repeatedly turning active, Yangtze Optical Fibre and Cable and Tongding Interconnect both achieved consecutive limit-ups, and MINGPUP Optical & Magnetic also delivered a rebound-back-and-up limit-up. In addition, popular stocks such as Sinonics (MIG), New Easy-Sun, Yuanjie Technology, and Deming Li maintained an upward trend structure as well. As emphasized earlier, AI-chain leading stocks have a strong driving effect on short-term sentiment; if they can maintain strength, it will be favorable for the continuation of this rebound.

Outlook analysis

Today’s market continued its rebound, with all three major indices rising more than 1%. The Shanghai Composite Index returned to above 3,900 points, and it has also basically filled the gap left by Monday’s downside move. Combined with the daily KD indicator forming a golden cross in the low range, short-term momentum may still have room to drive further higher. At that time, the low point of 4,002 from the prior box-type range is an important level worth watching. If it can successfully hold above it, it may imply that capital has gone through sufficient rotation, and market bullish confidence could gradually recover. Even if the index experiences a second pullback, the risk should be relatively controllable. Also, after a broad-based rebound for two consecutive days, there has already been some accumulation of profits. If volume and momentum cannot continue to increase, differentiation among individual stocks and between sectors is expected to become increasingly clear step by step. Therefore, getting the pace right remains key. It’s best to focus on dip-buy opportunities during the adjustment process of popular tracks where divergences occur.

Market headlines focus

1、COSCO SHIPPING Container Lines: Starting immediately, resume new bookings for routes from the Far East to Middle East countries including Saudi Arabia and Iraq (ordinary containers)

COSCO SHIPPING Container Lines released a service notice on March 25 stating that starting immediately, it will resume new booking services for ordinary containers from the Far East to the following countries in the Middle East, including the United Arab Emirates, Saudi Arabia, Bahrain, Qatar, Kuwait, and Iraq.

2、National Energy Administration: By the end of February, the nation’s cumulative installed power generation capacity was 3.95 billion kilowatts, up 15.9% year on year

The National Energy Administration released national electricity statistics for January–February 2026. By the end of February, the nation’s cumulative installed power generation capacity was 3.95 billion kilowatts, up 15.9% year on year. Of this, solar power installed capacity was 1.23 billion kilowatts, up 33.2%; wind power installed capacity was 650 million kilowatts, up 22.8%. In January–February, the national power generation equipment’s cumulative average utilization was 466 hours, which is 39 hours lower than the same period last year.

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