Morning News

Source: Wall Street News  

# Market Overview

Trade tensions curbed the upward momentum of U.S. stocks. The three major U.S. stock indexes all fell intraday, with the S&P 500 and Nasdaq staging a narrow rebound, while the Dow Jones Industrial Average halted its two-day winning streak. The bank earnings season got off to a strong start: Morgan Stanley and Bank of America, which reported outstanding earnings, closed up nearly 5% and over 4% respectively. The semiconductor index rebounded 3%, with AMD surging more than 9%, while NVIDIA turned lower after rising nearly 3% in early trading. Following the U.S. Army’s announcement of a nuclear energy development plan, nuclear energy stock NuScale jumped nearly 17%. Rare earth mining stocks plummeted, with Critical Metals dropping 24%.  

In European stocks, outperformer LVMH soared 12%, boosting France’s stock index to a 2% rebound. ASML, which issued a positive earnings guidance, rose more than 3% in European trading.  

Gold hit new all-time highs for three consecutive days, breaking above the $4,200 mark intraday for the first time and rising nearly 2% at one point. Spot silver rebounded over 3%, and silver futures closed at a new record high. Crude oil turned lower after rising more than 1% intraday, closing at a five-month low for the second straight day. New York copper failed to sustain its rebound, reversing gains of over 1% to end lower.  

The yield on the 2-year U.S. Treasury note turned higher after hitting a one-month low. The U.S. Dollar Index fell for two consecutive days to a one-week low. China’s yuan midpoint broke above 7.10, and offshore yuan rose more than 100 pips intraday to breach 7.13. Bitcoin fell nearly 3% intraday, approaching the $110,000 mark, while Ethereum dropped more than 6% at one point.  

During the Asian session, China’s A-shares and Hong Kong stocks rebounded. The Shanghai Composite Index climbed back above the 3,900-point level, with technology stocks gaining momentum in the afternoon. Hong Kong’s Hang Seng Tech Index rose over 2%, and tech sector stocks generally advanced. Shanghai gold and silver futures rose more than 2%, while government bonds declined.  

# Key News  

- China’s new social financing increased by 3.53 trillion yuan in September, with new RMB loans reaching 1.29 trillion yuan. The M2-M1 “scissors gap” hit the lowest level this year. China’s September CPI narrowed its year-on-year decline to 0.3%, core CPI returned to 1% for the first time in nearly 19 months, and PPI narrowed its year-on-year decline to 2.3%.  

- Li Qiang chaired the 16th special study session of the State Council, emphasizing the need to strengthen the empowerment of digital technologies such as artificial intelligence and systematically advance the formulation and revision of standards.  

- A U.S. court temporarily blocked Trump from carrying out large-scale layoffs during the government shutdown. Earlier, the White House “steward” stated that government layoffs could exceed 10,000 during the shutdown.  

- Trump “endorsed” Federal Reserve Governor Milan, who argued that trade uncertainty makes interest rate cuts more urgent.  

- Fed Beige Book: U.S. economic activity has changed little since the previous report in early September; tariffs have pushed up prices, and consumers are feeling the impact.  

- Trump claimed that Modi has pledged India will stop buying Russian oil.  

- Morgan Stanley’s Q3 results exceeded expectations across the board, with stock trading revenue surging 35% and loan loss provisions at 0. Bank of America’s Q3 results grew beyond expectations, and a recovery in mergers and acquisitions drove investment banking revenue to jump 43%.  

- The AI arms race has boosted demand: ASML’s Q3 order intake reached 5.4 billion euros, exceeding expectations, with net sales of 7.52 billion euros. Its full-year sales guidance was raised by 15%, and next year’s sales are expected to be no lower than this year’s.  

- Haiguang Information, a leading domestic computing chip company, saw both its Q3 revenue and net profit attributable to shareholders hit new highs.  

- The “AI infrastructure boom” has spread to Europe: Microsoft signed a $14 billion “European AI cloud deal” and leased 116,000 NVIDIA GB300 GPUs.  

- Media revealed OpenAI’s “five-year plan”: new revenue streams, new financing, and new hardware to support its commitment to $1 trillion in computing expenditure. Anthropic launched its cost-effective small model Haiku 4.5, whose programming capabilities are on par with Sonnet 4. The company’s revenue is expected to reach $9 billion this year and strive to nearly triple next year.  

- To prepare for the holiday season, Apple launched the iPad Pro, Vision Pro, and MacBook Pro powered by the M5 chip.  

- The “run” on Wall Street credit funds continues: following Morgan Stanley, Singapore’s GIC also requested redemptions.  

- Doubling the “financial aid” to Argentina? U.S. Treasury Secretary stated that a new $20 billion tool is being prepared, marking the second intervention in a week to prop up the peso.  

# Market Closing Quotes  

## U.S. and European Stocks  

- S&P 500: Rose 0.40% to close at 6,671.06 points.  

- Dow Jones Industrial Average: Fell 0.04% to close at 46,253.31 points.  

- Nasdaq Composite Index: Rose 0.66% to close at 22,670.08 points.  

- Europe’s STOXX 600 Index: Rose 0.57% to close at 567.77 points.  

## China’s A-shares  

- Shanghai Composite Index: Rose 1.22% to close at 3,912.21 points.  

- Shenzhen Component Index: Rose 1.73% to close at 13,118.75 points.  

- ChiNext Index: Rose 2.36% to close at 3,025.87 points.  

## Bond Market  

By the end of the bond trading session, the yield on the 10-year U.S. Treasury note stood at approximately 4.03%, unchanged from Tuesday. The yield on the 2-year U.S. Treasury note was around 3.50%, up about 2 basis points intraday.  

## Commodities  

- WTI Crude Oil Futures (November contract): Fell 0.73% to close at $58.27 per barrel.  

- Brent Crude Oil Futures (December contract): Fell 0.77% to close at $61.91 per barrel.  

- COMEX Gold Futures (December contract): Rose 0.92% to close at $4,201.6 per ounce.  

- COMEX Silver Futures (December contract): Rose 1.49% to close at $51.378 per ounce.  

- COMEX Copper Futures (December contract): Fell 0.17% to close at $5.0145 per pound.

# Details of Key News

## Global Highlights

### U.S. Treasury Secretary Sends Dovish Signals; Working-Level Teams Maintain Communication; China Reaffirms "Fight or Talk" Stance on Tariff War  

According to Huanqiu.com, Yellen stated that a scenario where the U.S. imposes a 100% tariff on China may not necessarily happen, and mentioned that the two sides could avoid an escalation of the trade war through negotiations in the coming weeks. In response, China’s Ministry of Commerce reaffirmed its consistent stance of "we will fight to the end if a fight is forced upon us; we will keep the door open for talks". It noted that working-level teams from both sides are maintaining communication, while emphasizing that the U.S. must show sincerity and correct its wrong practices. Analyses from multiple U.S. media outlets point out that the U.S. government’s contradictory statements recently have exposed internal policy divisions. At the actual implementation level, the measures may be "more thunder than rain"—making it difficult to put extreme tariff policies into practice.

### China’s New Social Financing Rises by RMB 3.53 Trillion in September; New RMB Loans Reach RMB 1.29 Trillion; M2-M1 "Scissors Gap" Hits Year’s Low  

In September, China’s new social financing amounted to RMB 3.53 trillion, with new RMB loans standing at RMB 1.29 trillion and new RMB deposits at RMB 2.21 trillion. The M2-M1 "scissors gap" (the difference between the growth rates of broad money supply M2 and narrow money supply M1) hit a year’s low of 1.2 percentage points. Market analysts believe that the significant narrowing of the M2-M1 "scissors gap" so far this year reflects positive signals such as improved vitality in corporate production and operations, and a recovery in personal investment and consumption demand.

### China’s September CPI Narrowed Year-on-Year Decline to 0.3%; Core CPI Returned to 1% for the First Time in 19 Months; PPI Narrowed Year-on-Year Decline to 2.3%  

The year-on-year decline in September’s CPI was mainly driven by the carry-over effect. Among the year-on-year change of -0.3% in this month’s CPI, the carry-over effect contributed approximately -0.8 percentage points. Prices of gold jewelry and platinum jewelry rose by 42.1% and 33.6% respectively. Core CPI, which excludes food and energy prices, increased by 1.0% year-on-year, marking the 5th consecutive month of expanded growth. In September, PPI remained flat month-on-month for the second consecutive month, while its year-on-year decline narrowed.  

GF Macro Economics stated that CPI has continued to show a trend of gradual improvement. Core CPI (excluding food and energy) rose by 1.0% year-on-year, representing the 5th consecutive month of improvement and the first time it has exceeded 1% since March 2024. Although PPI did not turn positive month-on-month in September, it has improved compared to the previous 8 consecutive months of month-on-month decline. One of the positive contributors is upstream mining and extraction, with a month-on-month increase of 1.2% in September. Prices of coal mining have improved significantly in the past two months. "Countering cut-throat competition (fannei juan)" remains crucial for PPI recovery.

### U.S. Court Temporarily Blocks Trump from Mass Layoffs During Government Shutdown  

A judge of the U.S. District Court for the Northern District of California issued a temporary restraining order, requiring more than 20 federal agencies involved in the lawsuit to suspend sending new layoff notices to union members and halt the implementation of already issued notices—pending the court’s further consideration on whether to impose a longer-term injunction. Since last week, the Trump administration has sent layoff notices to over 4,000 federal employees.  

Earlier on Wednesday, Russell Vought, the "steward" of the White House and Director of the Office of Management and Budget (OMB), stated that during the federal government shutdown, the government may eventually lay off more than 10,000 employees.

### Trump "Endorses" Fed Governor Milan: Trade Uncertainty Makes Interest Rate Cuts More Urgent  

Federal Reserve Governor Stephen Milan stated that trade tensions have increased uncertainty about the economic growth outlook, making it more necessary for policymakers to cut interest rates as soon as possible. He added that cutting interest rates twice more this year "sounds realistic".

### Fed Beige Book: U.S. Economic Activity Little Changed Since Early September; Tariffs Push Up Prices, Impact Felt by Consumers  

The Beige Book report also showed that overall U.S. consumer spending declined slightly; employment levels remained generally stable, though most regions reported that more employers are reducing their workforce through layoffs or attrition. Against the backdrop of delayed releases of key economic data due to the U.S. government shutdown, "anecdotal information" from businesses and consumers—such as that in the Beige Book—has become particularly important.

### Trump Claims Modi Pledged India Will Stop Buying Russian Oil  

Trump acknowledged that India cannot stop purchasing Russian oil "immediately", saying "it will take a little time, but this process will end soon". He also stated that India is expected to resume buying oil from Russia after the end of the Russia-Ukraine conflict. Trump did not specify an exact timeline for India’s reduction in purchases, nor did he disclose how the U.S. government will enforce or review this shift.

### Morgan Stanley’s Q3 Results Beat Expectations Across the Board; Stock Trading Revenue Surges 35%; Loan Loss Provisions Stand at 0  

Morgan Stanley reported Q3 net revenue of USD 18.22 billion, a year-on-year increase of 18% and exceeding the estimated USD 16.64 billion. Its Q3 earnings per share stood at USD 2.80, with a return on equity of 18%—surpassing the estimated 13.4%. Among its business segments, stock trading revenue soared 35% to USD 4.12 billion, exceeding the estimated USD 3.41 billion. This growth far outpaced the 6.6% increase expected by analysts and also exceeded Goldman Sachs’ comparable business performance of USD 3.74 billion.

### Bank of America’s Q3 Results Beat Expectations; Recovery in M&A Drives Surge in Investment Banking Revenue  

In the quarter, the bank’s revenue and profit increased by 10.8% and 23% year-on-year respectively, while investment banking revenue rose by 43%.

### AI Arms Race Boosts Demand; ASML’s Q3 Order Intake Reaches EUR 5.4 Billion (Exceeding Expectations); Net Sales Stand at EUR 7.52 Billion  

ASML’s Q3 order intake reached EUR 5.4 billion, far exceeding the market expectation of EUR 4.89 billion—indicating strong demand for high-end chip manufacturing equipment driven by AI infrastructure investment. Looking ahead, ASML expects its full-year net sales in 2025 to increase by approximately 15% year-on-year, with a gross profit margin maintained at around 52%. It also anticipates that sales in 2026 will not be lower than those in 2025.

### Haiguang Information, a Leading Domestic Computing Chip Company, Sees Q3 Revenue and Net Profit Attributable to Shareholders Hit New Highs  

Haiguang Information reported Q3 revenue of RMB 4.026 billion, a record high and a year-on-year surge of 69.6%. Its net profit attributable to shareholders reached RMB 760 million, a year-on-year increase of 13.04%. The company achieved significant progress in expanding the market for high-end processor products and accelerated the onboarding of key industry clients, driving both revenue and profit growth.

### "AI Infrastructure Boom" Spreads to Europe; Microsoft Signs USD 14 Billion "European AI Cloud Deal", Leases 116,000 NVIDIA GB300 GPUs  

British startup Nscale reached a massive deal potentially worth USD 14 billion with Microsoft, under which it will deploy over 116,000 NVIDIA GB300 chips in the U.S. and Portugal to accelerate the construction of global AI infrastructure. Despite market concerns about a bubble, Nscale has grown rapidly relying on its energy-efficient AI factories and a team of industry veterans, and plans to go public in the second half of next year.

### Media Reveals OpenAI’s "Next Five-Year Plan": Will New Revenue Streams, New Financing, and New Hardware Support Its USD 1 Trillion Computing Expenditure Commitment?  

OpenAI is accelerating the expansion of its revenue sources. In the corporate and government markets, it is developing customized AI solutions and promoting the commercialization of new products such as the Sora video generation service and AI agents. The company also plans to collaborate with former Apple designer Jony Ive to launch AI-driven personal assistant hardware, further expanding into the consumer market. OpenAI aims to fulfill its commitment of over USD 1 trillion in expenditure through diversified revenue, innovative financing, and hardware layout.

### Anthropic Launches Cost-Effective Small Model Haiku 4.5; Its Programming Capabilities Match Sonnet 4; This Year’s Revenue Expected to Reach USD 9 Billion, Striving to Nearly Triple Next Year  

The test score of Claude Haiku 4.5 is lower than that of Sonnet 4.5—the "world’s most powerful programming model" launched by Anthropic at the end of last month. However, its performance is on par with its predecessor Sonnet 4, as well as OpenAI’s GPT-5 and Google’s Gemini 2.5. The cost of Haiku 4.5 is only one-third of that of Sonnet 4, while its speed is more than twice as fast. Anthropic stated that its annualized revenue is approaching USD 7 billion this month. Media reports indicate that the company’s baseline annualized revenue target for next year exceeds USD 20 billion, and could reach USD 26 billion in the best-case scenario.

### Apple Launches iPad Pro, Vision Pro, and MacBook Pro Powered by M5 Chip to Prepare for Holiday Season  

Apple updated its product lineup on Wednesday, releasing the iPad Pro, Vision Pro headset, and 14-inch MacBook Pro equipped with the all-new M5 chip to gear up for the year-end shopping season. While the appearance of these three devices remains unchanged, their AI computing and graphics performance have been significantly upgraded.

### "Run" on Wall Street Credit Funds Continues: Following Morgan Stanley, Singapore’s GIC Also Requests Redemptions  

Jefferies is facing sustained pressure to withdraw funds as its funds were caught up in the bankruptcy of First Brands. Singapore’s sovereign wealth fund GIC has been negotiating with Jefferies in recent weeks to request the redemption of part of its funds. According to the redemption details disclosed by Jefferies, all redemption requests will take effect on December 31, and funds will be returned to investors in four quarterly installments, with the final payment expected to be made in October 2026.

### Doubling "Financial Aid" to Argentina? U.S. Treasury Secretary Says a New USD 2 Billion Tool Is Being Prepared; Second Intervention in a Week to Prop Up the Peso  

Yellen stated that a new private-sector financing tool worth USD 2 billion is being prepared to support Argentina’s bond market. The tool has attracted interest from multiple banks and sovereign funds and will operate in parallel with the USD 2 billion currency swap agreement announced by the U.S. last week. The price of Argentine government bonds rose, and the peso— which had fallen by more than 2% intraday—once erased its losses.

# Domestic Macroeconomics

Li Qiang Presides Over the 16th Special Study Session of the State Council: Strengthen the Empowerment of Digital Technologies Such as Artificial Intelligence and Systematically Advance the Formulation and Revision of Standards  

According to Xinhua News Agency, Li Qiang emphasized the need to optimize standard supply, align closely with the actual conditions of economic and social development, adhere to the principle of prioritizing urgent needs and advancing in an orderly manner, sort out standard requirements across industries, strengthen the empowerment of digital technologies such as artificial intelligence, and systematically promote the formulation and revision of standards.

Qiushi Magazine: Further Stabilize Market Expectations  

A commentator article in *Qiushi* Magazine stated that expectation management is a crucial part of macroeconomic governance and a key tool for doing a good job in economic work. To consolidate and expand the momentum of economic recovery and improvement, it is necessary to focus not only on the regulation of supply-demand balance but also on the management and guidance of expectations, continuously improve the effectiveness of macro-control, and boost confidence in social development. To further stabilize market expectations, it is essential to promptly respond to market concerns and enhance the predictability of policies; take the scientific formulation of the "15th Five-Year Plan" as an opportunity to strengthen medium- and long-term expectation management; constantly improve the institutional system to create a long-term, stable, and predictable institutional environment; and enhance the quality of economic publicity and public opinion guidance.

# Domestic Companies

PV Stocks Surge! A Confidential "Anti-Involution" Closed-Door Meeting in the PV Industry Unexpectedly Triggers Market Volatility  

Although electronic devices were prohibited at the meeting, unsubstantiated reports about "production and price restrictions" still leaked during the trading session, driving PV concept stocks to rise against the market trend. Industry insiders called for the timely disclosure of meeting minutes after the session to fill information gaps and eliminate the breeding ground for rumors. After all, the real recovery of the industry ultimately depends on a substantial increase in module prices and effective capacity clearance, rather than short-term stimulation from unsubstantiated reports.

Yu Donglai: The Company Has RMB 4.1 Billion in Cash, No Loans – "Pang Donglai Is an Abnormal Outlier; Iron Railings Are Still Needed at Entrances"!  

The average after-tax salary of employees is nearly RMB 10,000, with a staff turnover rate of only 0.94%. Pang Donglai’s sales volume this year has exceeded RMB 18.4 billion, surpassing the total for the entire last year. Yu Donglai said, "Our planned sales volume this year is to stay below RMB 20 billion. If sales grow too fast, employees will have to work overtime." Data shows that the average net salary of employees (after deducting social security and taxes) is RMB 9,886, and the monthly salary of store managers is RMB 78,058, both showing a significant increase compared to the same period last year. "Our emphasis on 'people' is the key to our success."

# Overseas Macroeconomics

Boosting Market Sentiment! Hedge Fund Giant Paul Tudor Jones: Nasdaq Will Rise Before the End of the Year; Gold and Silver Are "Depreciation Trades" with a Stronger Trend  

Jones clearly pointed out that late October to early November will be a key turning point. If the Nasdaq remains strong by then, there will be an opportunity for a strong year-end rally. He further emphasized that the market trend starting on November 1 could either be the final "peak stage" of the bull market or a dangerous period when top risks accumulate. Jones also noted that currency depreciation trades have evolved into gold and Bitcoin trades, and gold and cryptocurrencies will only demonstrate their value when the real debt crisis arrives.

"Look, the Emperor Has No Clothes"! Hedge Fund Manager: Can the Trillion-Dollar AI Investment Be Recouped?  

Hedge fund manager Kuppy believes there is a huge gap in the return on investment for AI data center construction. Investment in AI data center construction will require a trillion-dollar scale in the next 3-5 years (the annual budget of the U.S. Department of Defense is only USD 1 trillion). Currently, companies like Meta and Microsoft are using equity/leasing of data centers to essentially cover up for PE/VC, creating "safe" assets. The so-called "circular transaction" revenue is false, aiming to trick Wall Street into investing more funds.

JPMorgan CEO Dimon Admits: Holding Gold Is "Somewhat Justifiable"; Gold Prices May Easily Rise to USD 5,000 or USD 10,000  

Dimon himself stated that he would not buy gold, citing a holding cost of 4%, but admitted that allocating a certain amount of gold is reasonable in the current environment. Notably, the 4% holding cost mentioned by Dimon mainly applies to billionaires who need to store large quantities of gold bars; for ordinary investors, the holding cost of small amounts of gold is close to zero.

Gold: How Much to Allocate and When to Sell?  

The strategy team led by Wang Kai from Guosen Securities believes that it is still too early to talk about a peak for gold. The rise in gold prices is based on the revaluation of U.S. dollar credit and safe-haven demand. The opportunity for the third wave of growth may be triggered when the overseas AI technology boom peaks and funds are reallocated, but there are no signs of this yet. It is recommended to focus on a deterministic allocation ratio rather than market timing to avoid mistakes at inflection points. A 2-10% allocation of gold is appropriate for household assets, as it can improve risk-adjusted returns and control drawdowns; institutional asset management products can increase the allocation to more than 10%, with the optimal allocation being approximately 18%.

# Overseas Companies

Huang Renxun Narrates NVIDIA’s "Entrepreneurial History": Insights in 1993, Breakthrough in 2012, and AI in the Future  

Huang Renxun stated that NVIDIA was founded in 1993 based on the foresight of the end of Moore’s Law and a focus on "accelerated computing". In 2012, NVIDIA seized the breakthrough in deep learning through CUDA and cuDNN, strategically reshaping the computing stack. DGX-1 and "full-stack co-design" enabled NVIDIA to break through the limitations of Moore’s Law. In the future, AI will create two trillion-dollar markets: digital labor and physical AI, and computing will shift to 100% generative, supported by AI factories.

A Consortium Comprising BlackRock, NVIDIA, xAI, and Microsoft Invests USD 40 Billion to Acquire Data Center Giant Aligned  

Aligned currently operates or is developing approximately 50 parks in the Americas, with a total operational and planned capacity of 5 gigawatts. The AIP plans to more than double the number of its core parks in the next few years. This is one of the largest data center transactions in history and is expected to be completed in the first half of 2026.

Meta to Build a New GW-Level Data Center in Texas, U.S., with an Investment Exceeding USD 1.5 Billion  

The final installed capacity of this data center will reach 1 gigawatt, which will be used to provide computing power support for high-end computing chips in AI-related projects. A company spokesperson said the project is expected to be put into use in 2028.

Zero Revenue but Valuation Exceeding USD 26 Billion? The Most Severe AI Bubble Is Actually in Energy Stocks!  

Driven by AI demand, a severe speculative bubble is accumulating in the energy sector. A group of energy companies with no revenue at all have seen their total market value soar to over USD 45 billion. The only support is investors’ bet that tech giants will pay for their power generation facilities that have not yet been built.

Nuclear Power Stocks Soar; U.S. Army Announces "Janus" Plan to Power Bases with Micro Nuclear Reactors  

The U.S. Army plans to deploy micro nuclear reactors with a power generation capacity of less than 20 megawatts, aiming to solve multiple energy dilemmas faced by U.S. Army bases. These micro reactors will be owned and operated by commercial companies, while the U.S. Army and the Department of Energy will provide support in terms of technology and the supply of critical uranium fuel.

# Industries/Concepts

## 1. Charging Piles  

On October 15, the National Development and Reform Commission and other departments issued a notice on the "Three-Year Doubling Action Plan for Electric Vehicle Charging Facility Service Capacity (2025-2027)", accelerating the upgrading and renovation of charging facilities in highway service areas. The plan aims to build an inter-city charging network that effectively meets the medium- and long-distance travel needs of electric vehicles, further densify the layout of charging facility locations, and continuously optimize the functional structure of facilities. By the end of 2027, 40,000 "ultra-fast combined" charging guns with a power of 60 kilowatts or above will be built or renovated in highway service areas (including parking areas), and the construction of high-power charging facilities will be encouraged. Except for alpine and high-altitude areas, all other highway service areas should be equipped with charging capabilities.  

**Commentary**: Guosen Securities believes that Chinese charging pile companies are deeply participating in the global energy transition process through technological output and model innovation. The domestic market for DC integrated piles and charging modules is highly competitive, with gross margins generally ranging from 20% to 30%; the gross margin in overseas markets is expected to exceed 40%.

## 2. Intelligent Agents  

On October 15, Baidu Search announced a comprehensive upgrade to the AIGC creation capabilities of Wenxin Assistant, supporting 8 modalities of creation including AI images, AI videos, AI music, and AI podcasts, and enabling one-click access to multiple tools to solve problems in various scenarios. Up to now, the daily average AIGC content generated by Baidu Search users has exceeded 10 million pieces. In addition, Baidu Search also launched the industry’s first open, real-time interactive digital human intelligent agent, which has high realism, low latency, open real-time interaction, and emotion recognition capabilities, providing users with more professional content and services.  

**Commentary**: Huajin Securities believes that with the continuous upgrading and commercial implementation of Baidu Wenxin, the implementation of AI applications is expected to accelerate. It is optimistic about application manufacturers that have clear commercial prospects and can build competitive barriers based on industry depth, scenario positioning, and data resources. Everbright Securities believes that the value of Baidu’s AI ecosystem is undervalued, and specifically points out that the synergy between intelligent agents and cloud business will open up long-term valuation space.

## 3. Internet of Vehicles (IoV)  

The 2025 World Intelligent Connected Vehicles Conference, co-hosted by the Ministry of Industry and Information Technology, the Ministry of Transport, and the People’s Government of Beijing Municipality, will be held in Beijing from October 16 to 18. With the theme of "Gathering Wisdom and Energy, Connecting Infinite Possibilities", this conference focuses on cutting-edge technologies, industrial applications, and future development trends of global intelligent connected vehicles (ICVs), and is committed to becoming a world-class vane and accelerator for intelligent connected vehicle technology and industry.  

**Commentary**: Analysts stated that China has clearly identified intelligent connected vehicles as one of the eight key areas for enhancing the core competitiveness of the manufacturing industry. China has issued the *New Energy Vehicle Industry Development Plan (2021-2035)*, deepening the development direction of electrification, connectivity, and intelligence, and has established a complete industrial chain system covering intelligent cockpits, autonomous driving, and connected cloud control, while continuing to promote commercial and large-scale demonstrations. With the gradual improvement of industry supervision, and the implementation of innovations such as intelligent driving, connected technologies, and AI large models, the performance of companies in related industrial chains such as autonomous driving hardware and software, IoV services, intelligent chips, and sensors is expected to grow continuously.

## 4. Photonic Devices  

According to IT Home, NTT Research, in collaboration with Cornell University and Stanford University, has successfully developed the world’s first programmable nonlinear photonic chip, with the results published in the journal *Nature*. This major breakthrough enables the rapid switching of multiple nonlinear optical functions on a single chip, completely subverting the traditional "one device, one function" design paradigm for photonic devices, and will greatly expand the application boundaries of tunable light sources, optical computing, quantum computing, and communications.  

**Commentary**: According to market research institutions, the current market size of photonic integrated circuits exceeds USD 50 billion. The new technology is expected to solve multiple core challenges faced by the industry: First, replacing multiple dedicated devices with a single programmable chip can reduce R&D and production costs by several orders of magnitude. Second, chip functions can be programmatically modified after manufacturing, which can effectively compensate for manufacturing defects, thereby significantly improving the extremely strict yield requirements in large-scale optical circuit production. This technology shows great application prospects in multiple high-growth markets. In the field of quantum computing, programmable quantum frequency converters and quantum light sources will enable more flexible computing architectures and network capabilities. In the field of communications, wide-range tunable light sources and arbitrary waveform generators can enhance the performance of 5G and 6G infrastructure.

# Today’s Key News Preview

- Speech by Federal Reserve Governor Waller  

- Oracle AI World Conference  

- 2025 World Intelligent Connected Vehicles Conference  

- U.S. EIA Crude Oil Inventory Change for the Previous Week  

<End of Full Text>

# Risk Warning and Disclaimer

The market is risky, and investment requires caution. This article does not constitute personal investment advice and does not take into account the specific investment objectives, financial status, or needs of individual users. Users should consider whether any opinions, views, or conclusions in this article are consistent with their specific circumstances. Investment made based on this article shall be at the user’s own risk.