【Morning Report】Over 1 trillion yuan evaporated overnight, NVIDIA experiences its largest single-day drop in 10 months; Huawei releases a "magic tool" for coding

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Macroeconomic News

1. The Ministry of Commerce held its routine press conference on February 26. When responding to questions about the upcoming sixth round of China-U.S. economic and trade consultations, spokesperson He Yongqian stated that both sides maintain ongoing communication through the China-U.S. trade consultation mechanism at all levels.

2. Foreign Ministry spokesperson Mao Ning hosted a regular press briefing yesterday. A reporter asked whether, if the U.S. attacks Iran, China would support Iran alongside Russia to resist any U.S. aggression. Mao Ning said that China consistently advocates resolving issues through political and diplomatic means and opposes the use or threat of force in international relations. She also pointed out that China supports the Iranian government and people in maintaining national stability and legitimate rights.

3. The People’s Bank of China issued a notice regarding cross-border interbank RMB financing business for banking financial institutions. The notice supports domestic banks in responding to market demand and conducting RMB cross-border interbank financing in accordance with lawful, compliant, and risk-controlled principles.

4. Iranian Foreign Minister Araghchi stated on February 26 local time, after the conclusion of the third round of indirect negotiations in Iran and the U.S., that this was the most serious and longest-lasting negotiation. Good progress was made, and in some areas, both sides are close to reaching consensus.

Industry News

1. The State Administration for Market Regulation issued the “Regulations on Supervision and Management of Food Safety Responsibilities of Online Catering Service Operators,” requiring delivery platforms to register delivery merchants with real names and conduct substantive reviews of their food business licenses and other qualifications through on-site inspections. The regulations also specify that delivery-only merchants must prominently display a “No Dine-In” sign on their main page.

2. According to data from OpenRouter, the world’s largest AI model API aggregation platform, from February 9-15, Chinese models handled 41.2 trillion tokens for the first time, surpassing the U.S. models’ 29.4 trillion tokens during the same period. From February 16-22, Chinese models’ weekly call volume further increased to 51.6 trillion tokens. Among the top five models by platform calls, four are from Chinese companies: MiniMax’s M2.5, Kimi K2.5 from Moonlit Face, GLM-5 from Zhipu, and V3.2 from DeepSeek.

3. Zimbabwe’s Ministry of Mines announced the suspension of all mineral and lithium concentrate exports (including in-transit goods). According to sources from Zhongkuang Resources and Yahua Group, the export ban is a temporary measure, expected to be lifted within 1 to 4 weeks. Currently, the company has sufficient raw material inventory, and the impact on production and operations is limited.

4. NAND flash prices continue to rise amid ongoing supply shortages. Leading manufacturer Phison recently notified customers of updated payment terms. The company stated that NAND prices have been steadily increasing, significantly impacting cash flow needs. To secure more stable supply, they are discussing prepayment conditions with individual customers.

5. The General Office of Hunan Provincial Government recently issued “Several Measures to Further Promote the Development of Private Investment.” The measures propose accelerating digital upgrades, implementing the “AI+” and “Smart Empowerment for Ten Thousand Enterprises” initiatives, and utilizing policies such as equipment renewal loans and fiscal subsidies to support private enterprises in increasing technological transformation and equipment updates.

6. Huawei Cloud’s CodeMind AI coding assistant beta was released yesterday, integrating large code models, IDE, and autonomous development modes. It covers code generation, research knowledge Q&A, unit test case generation, expert skills, codebase indexing, and standards-driven development, supporting open-source models like GLM-5.0, DeepSeek-V3.2, Huawei’s self-developed models, and a dedicated HarmonyOS model, aiming to improve developers’ efficiency and provide an intelligent coding experience.

7. Tungsten raw material prices have continued to surge after the holiday, with tungsten powder exceeding 1,800 RMB/kg. The tooling industry has entered a new round of price increases, with companies like Huarei Precision and Xinrui Shares raising product prices successively. Industry insiders report that some leading tool manufacturers are operating at full capacity to clear backlog orders from the Spring Festival, with delivery cycles extending from over a month to 2-3 months.

Company News

1. BeiGene announced its earnings brief, with a net profit of 1.422 billion RMB in 2025, turning from loss to profit. The company also projected 2026 revenue between 43.6 billion and 45 billion RMB.

2. East Money announced that its controlling shareholder plans to donate 20 million shares to the Shanghai Jiao Tong University Education Development Foundation, with a market value of approximately 450 million RMB based on yesterday’s closing price.

3. Sunonwealth Electronics announced that there are significant uncertainties regarding the new project of Sunli Microelectronics.

4. Ruixin Technology announced plans to acquire 51% of Deheng Equipment’s shares, and its stock will resume trading.

5. China Merchants Shipbuilding announced that the international oil tanker market remains strong, with significant increases in tanker asset prices.

6. Baidu Group reported Q4 2025 revenue of 32.74 billion RMB, a 5% quarter-over-quarter increase, and a non-GAAP net profit of 3.9 billion RMB in the same quarter last year.

7. Philiware announced that its quartz electronic fabric business is expected to account for about 5% of the company’s total revenue in 2025.

8. ST Jinglan announced that its stock price surged 117% from January 23 to February 26, significantly diverging from its performance, and will be suspended for investigation.

9. Yahua Group stated on its interactive platform that the current Zimbabwe lithium export ban will not affect the company’s normal production and operations.

10. Puran Co. released its earnings brief, with a net profit of 208 million RMB in 2025, down 28.79% year-over-year. The previous forecast estimated about 205 million RMB net profit for 2025.

11. Daqian Energy announced that Cayman Daqian expects a total polysilicon production of 140,000 to 170,000 tons in 2026.

12. Ganneng Power announced that thermal power accounts for approximately 86.39% of total installed capacity, with ongoing downward pressure on electricity prices.

Global Markets

U.S. stocks closed mixed: the Nasdaq down 1.18%, the S&P 500 down 0.54%, and the Dow up 0.03%. Nvidia fell over 5%, its largest single-day drop since April 16 last year, losing approximately $245.2 billion in market value overnight (about 16.775 trillion RMB). The quantum computing sector in the U.S. rose broadly, with IonQ up over 21%, Rigetti up over 5%, Arqit up over 3%, and SEALSQ and D-Wave up over 2%. Major European indices mostly gained, with Germany’s DAX 30 up 0.4%.

International crude oil futures settled slightly lower. WTI April futures fell 0.32%, Brent April futures fell 0.14%.

COMEX gold futures declined 0.45%, at $5,202.8 per ounce; COMEX silver futures fell 2.74%, at $89.12 per ounce.

Google launched the latest image model Nano Banana 2, bringing high-fidelity image generation and faster, more advanced editing features for the new Flash model; it will be gradually integrated into Google’s various products.

Satellite images show that on February 26, 11 U.S. F-22 Raptor stealth fighters were deployed to Ovda Air Base in southern Israel. These fifth-generation fighters are part of the latest U.S. military deployment in the Middle East.

According to U.S. officials on the 26th, the U.S. Fifth Fleet headquarters in Bahrain has reduced its personnel to “critical mission” levels. This move is believed to be in response to potential Iranian attacks.

Investment Opportunities

1. 3D printing perfectly aligns with commercial aerospace manufacturing processes, potentially creating massive demand for related products and services.

3D printing is evolving from a “show-off” technique in aerospace manufacturing to an essential “foundational process” for developing reusable rockets. It acts like a “digital chisel,” capable of directly sculpting complex internal engine structures and integrated support frameworks from computer models into physical parts.

Leveraging additive manufacturing principles, 3D printing meets the high-performance, complex, and integrated manufacturing needs of commercial space. According to NASA, 3D printing can overcome traditional processing bottlenecks and offers advantages in performance, cost, and time. Guosheng Securities notes that as China’s ultra-large low Earth orbit constellation enters deployment, unprecedented rocket launch demands are expected over the next decade. This “massive, high-frequency” launch pattern aligns closely with the rapid and flexible production characteristics of 3D printing, likely driving huge demand for related products and services.

2. Upgrades in AI servers may boost demand for PCB drill bits, with industry showing simultaneous increases in both volume and price.

Driven by AI computing power, data centers, high-end communications, automotive electronics, and semiconductor packaging needs, PCBs are upgrading to higher multilayer, HDI, IC substrates, and high-frequency high-speed designs. This fuels rapid growth in ultra-micro drill bits, high aspect ratio, high wear resistance PCB drill bits, and precision tools, with the industry showing a “rising in both volume and price” trend.

Because AI server PCBs are harder and have more layers, drill bits tend to wear out or break more easily during processing, raising higher demands for durability, stability, and consistency. The global PCB industry is experiencing a technological upgrade centered on the transition from M7/M8 to M9 materials. M9+Q substrate materials drastically reduce drill bit lifespan from 500-1000 holes to 100-200 holes, increasing wear by 4-5 times; additionally, increased layers and higher aspect ratios accelerate wear. Yangtze Securities forecasts that future AI industry transformations will significantly boost demand for high-end drill bits, potentially leading to explosive growth in demand.