The stock indices showed mixed performance this week, with combined net inflows of 8.585 billion yuan recorded for both domestic stock-type and cross-border ETFs in the Shanghai and Shenzhen markets. Looking at industry themes, ETFs tracking securities and grain sectors attracted notable capital, while semiconductor-related ETFs experienced significant outflows.

Since the second half of the year, an excess of 80 billion yuan has been channeled into the STAR 50 index via ETFs. Weekly turnover in the Shanghai and Shenzhen markets totaled 9.39 trillion yuan, with the Shanghai market contributing 4.43 trillion yuan and the Shenzhen market 4.96 trillion yuan. As of the latest close, the Shanghai Composite Index settled at 3888.11 points, declining 1.07% for the week, while the Shenzhen Component Index closed at 13471.21 points, falling 0.34% over the same period.

Wind data reveals that stock-type ETFs and cross-border ETFs in the two markets saw aggregate net inflows of 8.585 billion yuan this week. Broad-based index ETFs recorded net outflows of 268 million yuan, while industry-themed ETFs, strategy-style ETFs, and cross-border ETFs posted net inflows of 1.855 billion yuan, 2.826 billion yuan, and 4.173 billion yuan, respectively. A closer look at the primary broad-based indices shows the STAR 50 index attracted net inflows of 6.185 billion yuan this week.

Among specific ETFs, the ten largest broad-based index ETFs by scale recorded combined net inflows of 2.922 billion yuan this week. Notably, the STAR 50 ETF ChinaAMC saw net inflows of 3.235 billion yuan, with its fund shares reaching a year-high level. Analysts suggest the current market contraction displays pronounced structural characteristics, primarily driven by a temporary cooling in trading activity within the pan-AI technology sector. Both trading volumes and leverage activity in related sectors have simultaneously declined, while proactive equity funds have reduced positions in electronics and communications, leading to a phased contraction of capital in growth sectors as the market undergoes a rotation of sentiment.

When examining the longer timeframe, a cumulative total of 82.044 billion yuan has flowed into the 20 STAR 50-related ETFs trading on the market since July. In the industry-themed ETF space, 26 funds recorded net inflows exceeding 100 million yuan this week. Among them, the Securities ETF Guotai, Communications ETF Guotai, and Brokerage ETF HuaBao saw their shares increase by 1.215 billion units, 1.912 billion units, and 1.359 billion units, respectively, translating to net capital inflows of 1.31 billion yuan, 1.298 billion yuan, and 702 million yuan.

On the outflow side, 23 industry-themed ETFs saw net redemptions exceeding 100 million yuan this week. The STAR Semiconductor ETF ChinaAMC, Semiconductor Equipment ETF GF, and Semiconductor Equipment ETF Guotai experienced share reductions of 1.914 billion units, 495 million units, and 645 million units, leading to net fund outflows of 1.773 billion yuan, 491 million yuan, and 428 million yuan, respectively. Meanwhile, the Grain ETF GF reached a new one-year high in fund shares this week.

Market commentators point out that, following the patterns of commodity price rotation, the market has already completed the price rally sequence across precious metals, industrial metals, and energy. The current focus appears to be shifting toward agricultural products. Grain price inflation tends to lag with stronger persistence; after a systematic rise in planting costs, the central tendency for grain prices is unlikely to retreat in the short term.

Sixteen ETFs recorded weekly turnover exceeding 10 billion yuan among stock-type and cross-border ETFs this week. The China-South Korea Semiconductor ETF HuaTaiBaiRui posted a weekly turnover of over 50 billion yuan. A securities firm noted that global semiconductor equipment momentum continues to be revised upward, with overseas equipment and component suppliers experiencing both rising volumes and prices. Extended overseas delivery times, combined with the enhanced capabilities developed by domestic equipment and component makers during the 14th Five-Year Plan period, position them well for overseas expansion.

Furthermore, global shortages are making it increasingly difficult for domestic downstream customers to secure overseas equipment and components, which is expected to significantly accelerate the pace of domestic substitution in the Chinese market. Nine ETFs are scheduled to be listed next week, tracking indices including CSI 300 Free Cash Flow, Dividend Quality, Auto Parts, Home Appliances, Chemicals, Cloud Computing, and Grain. Additionally, four ETFs are slated for issuance next week, with underlying targets spanning Fintech, Big Data, and Artificial Intelligence themes.