Morning News

**Source**: Wall Street CN

## Market Overview

On Tuesday, Trump hinted that Kevin Hassett is a candidate for Federal Reserve Chair, coupled with stabilized Japanese government bond auctions, global markets breathed a temporary sigh of relief. The S&P 500 and Nasdaq rose, while digital currencies surged sharply. However, concerns over the competitive landscape of tech giants and lingering market caution led to a decline in the Russell Small-Cap Index; despite U.S. stock indices rising six out of the past seven trading days, most constituent stocks fell.

Apple led the gains among large-cap stocks, but Tesla declined as a "big short" investor criticized its overvaluation. Boeing jumped nearly 10%.

U.S. Treasury bonds were mixed, with the 10-year yield essentially flat at 4.088% and the 2-year yield falling 1.6 basis points.

The U.S. dollar rebounded against the Japanese yen, rising nearly 0.5% at one point. Offshore renminbi moved toward a 14-month high.

Bitcoin climbed over 6% to reclaim the $90,000 mark, while Ethereum soared more than 8% to break above $3,000 again, largely recouping the losses from Monday's sharp drop.

Gold fluctuated lower by 0.58%. Silver staged a V-shaped reversal, falling over 2.3% at one point before rallying more than 3.6% from the daily low to approach the all-time high set yesterday. Crude oil dropped approximately 1.5%.

During the Asian session, A-shares fluctuated downward, with the ChiNext Index falling 0.69%. The commercial aerospace and pharmaceutical distribution sectors surged, while Hong Kong stock indices showed divergent performance, and new energy vehicle stocks generally declined.

## Key News

- Trump stated he will announce the Federal Reserve Chair candidate early next year, hinting at Kevin Hassett. The "New Fed Wire" reported that Hassett's election as Fed Chair has been "internally confirmed."

- U.S. holiday shopping season off to a strong start! National Retail Federation: Thanksgiving weekend shopping volume soared to over 200 million people.

- OpenAI activated a red alert, suspending its advertising business to fully optimize ChatGPT and compete fiercely with Google's Gemini. OpenAI is accelerating the development of a new model named "Garlic."

- Amazon made a blockbuster announcement challenging Google and Nvidia: AI chip Trainium 3 is faster and more energy-efficient, accompanied by four Nova 2 models and the industry's first "open training" approach.

- Nvidia CFO: $500 billion in chip orders do not include OpenAI partnership; the $100 billion agreement remains unfinalized.

- Big short targets Tesla, calling its valuation absurd and its compensation plan harmful to shareholders.

- Eurozone November CPI rose to 2.2%, with stubborn service sector prices; ECB rate cut in December "almost impossible."

## Market Closing Quotes

### U.S. and European Stocks

- S&P 500: +0.25% to 6,829.37

- Dow Jones Industrial Average: +0.39% to 47,474.46

- Nasdaq Composite: +0.59% to 23,413.674

- Europe STOXX 600 Index: +0.07% to 575.65

### A-shares

- Shanghai Composite Index: -0.42% to 3,897.71

- Shenzhen Component Index: -0.68% to 13,056.70

- ChiNext Index: -0.69% to 3,071.15

### Bond Market

- U.S. 10-year Treasury yield: -0.23 basis points to a daily low of 4.0788%

- U.S. 2-year Treasury yield: -over 2 basis points to a daily low of 3.505%

### Commodities

- WTI Crude Oil Futures (January): -1.14% to $58.64/barrel

- Brent Crude Oil Futures (February): -1.14% to $62.45/barrel

- COMEX Gold Futures: -0.77% to $4,241.90/ounce

# Details of Key News

## Global Heavyweight News

Global markets breathed a temporary sigh of relief as liquidity concerns eased, Japanese government bond auctions stabilized, and Bitcoin halted its decline. The auction of Japan's 10-year government bonds emerged as a key factor in stabilizing the market on Tuesday. Prior to the auction, the benchmark government bond yield surged to 1.88%, a 17-year high. This relatively high yield level attracted investors including pension funds to enter the market. The strong demand in the Japanese bond auction and the stabilization of the crypto market jointly alleviated investors' worries about liquidity strains.

Trump stated he will announce the Federal Reserve Chair candidate early next year, strongly hinting at Kevin Hassett. At a White House cabinet meeting on Tuesday, Trump said, "We will announce someone as the new Federal Reserve Chair early next year." Shortly after the cabinet meeting, at an event, he dropped a hint about the candidate being Hassett: "I guess there is also a potential Federal Reserve Chair here. I don't know who is qualified to use the word 'potential'. But I can tell you, he is a highly respected person. Thank you, Kevin."

The "New Fed Wire" reported that Hassett's election as Federal Reserve Chair has been "internally confirmed". Timiraos noted that Trump told reporters on Sunday, "I know who I'm going to choose", and merely smiled and remained silent when asked if the candidate was Hassett. As the Director of the White House National Economic Council, Hassett meets two key criteria set by Trump: loyalty and credibility in the market.

With Hassett essentially confirmed as the next Fed Chair, will the Federal Reserve adopt an extremely dovish stance next year? And can inflation remain under control? It is widely believed that Hassett's election as Fed Chair is a done deal internally, which has strengthened the market's bets on a dovish policy. However, stronger growth and persistent inflation expected in 2026 are challenging this narrative. In the short term, signals of a policy shift have driven U.S. stocks and interest rate cut expectations to rebound in tandem. Nevertheless, if inflation picks up again next year, the central bank's credibility will be tested, and the market may conversely tighten financial conditions, leading to a significant rise in volatility.

The U.S. holiday shopping season got off to a flying start! National Retail Federation (NRF) reported that the number of shoppers during the Thanksgiving holiday weekend soared to over 200 million. Data released by the NRF on Tuesday showed that approximately 202.9 million U.S. consumers made purchases over the five-day period from Thanksgiving to Cyber Monday. This figure not only exceeded the NRF's previous forecast of 186.9 million but also broke all records since the organization began tracking this data in 2017.

OpenAI activated a red alert, suspending its advertising business to fully optimize ChatGPT and compete head-on with Google's Gemini. Faced with the severe threat of a surge in Google Gemini's user base and its technological overtaking, OpenAI announced the launch of an internal "red alert". The company will postpone new projects such as its advertising business and AI agents, and concentrate all resources on optimizing ChatGPT's core user experience, including enhancing personalization, image generation capabilities, and response speed. This move aims to consolidate the moat built around its over 800 million users and lay the foundation for the next crucial round of financing, which is expected to reach approximately $100 billion.

OpenAI is accelerating the development of an all-new model named "Garlic" to counter the competitive pressure from Google's AI advancements. Internal tests indicate that the new model has outperformed Gemini 3 and Anthropic's Opus 4.5 in programming and reasoning tasks. It integrates Shallotpeat's pre-training repair solutions, enabling more efficient knowledge injection with a smaller model scale. Such technological iterations suggest that GPT-5.2 or GPT-5.5 may be launched in early 2026. However, Garlic still needs to undergo subsequent training and safety assessments, and its actual application performance remains to be seen.

Faced with Google's challenges, which is more vulnerable—NVIDIA or OpenAI? Senior tech analyst Ben Thompson argued that as Google mounts a full-scale counterattack with its Gemini model and TPU chips, the two giants in the AI sector are confronting distinctly different crises. NVIDIA's business model is vulnerable because its profits are highly dependent on a handful of large cloud customers capable of "breaking down the CUDA ecosystem wall". OpenAI, on the other hand, holds a strong network effect driven by 800 million users. Yet its biggest strategic mistake lies in its failure to adopt an advertising model to date, preventing it from converting its user advantage into a sustainable commercial barrier and thereby weakening its own competitive edge.

Amazon made a blockbuster announcement to challenge Google and NVIDIA: its AI chip Trainium 3 is faster and more energy-efficient, accompanied by four Nova 2 models and the pioneering "open training" approach. Trainium 3 is AWS's first 3nm AI chip, delivering 2.52 PFLOPs of FP8 computing power. It boasts 1.5 times more memory capacity and 1.7 times higher bandwidth than the previous generation. The Trn3 UltraServer system equipped with this chip achieves a 40% improvement in energy efficiency compared to its predecessor. The under-development Trainium 4 will support NVIDIA's NVLink Fusion interconnection technology. The new models include Nova 2 Pro, Amazon's most advanced inference model, and Nova 2 Omni, the industry's first unified multimodal inference and generation model. Nova Forge, a service pioneering the "open training" model, helps enterprises build customized Nova models. The new service Nova Act has achieved a breakthrough in browser task automation.

NVIDIA CFO: $500 billion in chip orders exclude cooperation with OpenAI; $100 billion agreement remains unsigned. NVIDIA CFO Colette Kress stated on Tuesday that the company's projected $500 billion in orders for its Blackwell and Rubin AI chips through 2026 do not include any ongoing collaboration work with OpenAI for the next phase. She also revealed that the up-to-$100 billion investment agreement announced by NVIDIA and OpenAI in September has not yet been finalized. OpenAI intends to switch to direct procurement, and the two parties are still negotiating the final terms of the agreement.

Shortage of electricity, labor, and equipment: JPMorgan predicts the market will shift to addressing AI infrastructure bottlenecks next year and is optimistic about energy infrastructure. JPMorgan pointed out that with the nonlinear growth in demand for AI computing power, investors need to shift their focus from "chips" to "bottleneck resolution" in 2026. It further raised its forecast for power demand in data centers. Based on the latest growth expectations for NVIDIA's sales volume, the cumulative power shortage of U.S. data centers between 2025 and 2028 is expected to reach 47 gigawatts.

A prominent short seller has set its sights on Tesla, claiming its valuation is absurd and its compensation plan harms shareholders. Michael Burry estimated that Tesla's stock-based compensation plan would dilute shareholder equity by approximately 3.6% annually without offsetting share repurchases. Burry specifically criticized the $1 trillion compensation plan proposed by Elon Musk, arguing that the scale of the plan and its potential dilution effect have become the focus of institutional investors when assessing the company's risks.

New developments in Vanke's bond extension. According to the Shanghai Securities News, a leaked screenshot of the "Initial Proposal for the Holders' Meeting of 22 Vanke MTN004" shows that Vanke intends to seek a one-year extension for the principal and interest repayment of the "22 Vanke MTN004" bond. A senior industry insider stated that this extension plan is tailored specifically for a single bond and requires a one-time full repayment after one year. Currently, there are no signs from this plan that Vanke may introduce an overall debt restructuring plan, which has been a major concern in the market.

Eurozone's November CPI rebounds to 2.2%; stubborn service sector prices make ECB rate cut in December nearly impossible. The Eurozone's inflation rate accelerated to 2.2% in November from 2.1% in the previous month, strengthening the market's expectation that the European Central Bank will not cut interest rates within the year. Service sector prices remain persistently high, while energy prices continue to decline. The market has almost completely ruled out the possibility of an ECB rate cut at its December meeting and believes the probability of any easing measures next year is only a quarter.

## Domestic Macroeconomics

China and Russia hold strategic security consultations, agreeing to resolutely counter attempts to revive fascism and Japanese militarism. According to CCTV News, the two sides conducted strategic coordination on Japan-related issues and reached broad consensus. They agreed to firmly safeguard the fruits of the victory in World War II, which were achieved at the cost of countless lives and blood. They also pledged to firmly oppose any wrong words and deeds that attempt to whitewash the history of colonial aggression, and resolutely counter the resurgence of fascism and Japanese militarism. Both countries will fulfill their common responsibilities as major powers and permanent members of the UN Security Council to safeguard world peace and security, as well as historical truth and international justice.

Preview of the Central Economic Work Conference: Policy orientation is expected to be more proactive. CITIC Securities predicts that as 2026 marks the first year of the 15th Five-Year Plan, the policy orientation will be more proactive and aggressive. The conference is expected to make advance arrangements focusing on expanding domestic demand, technological innovation, coordinated efforts of fiscal and monetary policies, and resolving real estate risks.

The Yongmei shock is unlikely to repeat, and the bond market will find it hard to replicate the late-2020 trend. Orient Securities argued that due to the limited spread of risks this time, the pressure from capital conditions and negative feedback in the bond market is inherently mild. More importantly, this incident is unlikely to alter the market's expectations for the macroeconomic environment. Unlike the Yongmei incident, it will not prompt investors to reevaluate economic trends and monetary policy directions, nor will it push banks, insurance companies and other institutions to accelerate their entry into the bond market.

## Domestic Companies

China's AI competition will "intensify comprehensively" in 2026: "traffic entry points" become a battleground for major enterprises, and the globalization of AI will accelerate. Citigroup stated that China's Internet sector surged by 36.5% in 2025, but the real main battlefield will be the comprehensive AI competition in 2026. Alibaba, Tencent, and ByteDance will compete in areas such as AI cloud services, chatbots, and vertical agents. The global monthly active users of ByteDance's AI applications have jumped to the third place. The efficiency improvements brought by AI will also benefit industries with stable profitability, such as the gaming and tourism sectors.

Is Doubao AI Assistant a case of "grand ideals facing harsh realities"? JPMorgan argues that major smartphone manufacturers prefer independent research and development, making its implementation difficult. JPMorgan pointed out that although the demo version of Doubao showcases a rich functional ecosystem, its actual implementation faces significant challenges. This is because it involves modifications at the operating system level, which would weaken smartphone manufacturers' bargaining power in the supply chain. Giants that control hardware entry points will never easily give up their dominance. JPMorgan remains optimistic about "super apps" such as WeChat, Taobao, and Meituan.

DeepSeek's V3.2 approaches Gemini 3, with a bold announcement to boost computing power. In response to the claim that the Scaling Law has failed, DeepSeek released V3.2 and Speciale as a strong rebuttal, with inference performance approaching that of Gemini 3. Addressing the model's current deficiency in the breadth of world knowledge, DeepSeek clearly stated in its technical report that this is due to insufficient training FLOPs. It boldly announced that it will "expand pre-training computing power" in the future to make up for this gap.

Aiming to rival OpenAI, Zhipu AI is striving to become the "first domestic AI stock", with ARR from developer-oriented and model businesses exceeding 100 million yuan. The CEO of Zhipu AI revealed that the company's annual recurring revenue (ARR) from its developer-oriented software tools and model business (GLMcoding plan) has exceeded 100 million yuan (equivalent to 14 million US dollars). Through its API platform, the company has attracted over 2.7 million paying customers and expects its sales volume to double in 2025.

## Overseas Macroeconomics

OECD: Interest rate cuts by major global central banks will end next year, with extremely limited room for easing. The latest report from the Organization for Economic Cooperation and Development (OECD) shows that most economies have very little room for further monetary easing. It is expected that the Federal Reserve will only cut interest rates twice more by the end of 2026, and the federal funds rate will remain in the range of 3.25% to 3.5% until 2027. The Eurozone and Canada are expected to have no room for further interest rate cuts. Meanwhile, Japan's inflation remains stable near the policy target, and a steady tightening of monetary policy is expected.

QT officially ends, and the use of repurchase facilities surges: What does this mean for overall liquidity? Although the Federal Reserve's quantitative tightening (QT) has officially ended, the usage of the Standing Repo Facility (SRF) has reached the second-highest level since 2020, indicating that liquidity in the financial system has not shifted towards easing. This signals that the market will enter a new phase dominated by the Federal Reserve. The central bank will need to inject liquidity into the market through targeted bond purchases. However, this process will also put selling pressure on mortgage-backed securities (MBS), complicating the overall liquidity outlook.

The global supply of silver is extremely tight, leading to an epic short squeeze. The shortage of physical silver supply worldwide has triggered a "perfect storm" in the silver market. Recently, the price of silver has soared to an all-time high of 58.84 US dollars, with an increase far outpacing that of gold. Traders are betting on a sustained global shortage. Driven by multiple factors including strong industrial demand in China, an influx of speculative activities, and potential risks of trade tariffs, this epic short squeeze continues, amplifying market vulnerability.

Oil prices rose sharply intraday; Putin says Russia will intensify strikes on Ukrainian ports. On Tuesday, WTI crude oil futures rose from around 58.40 US dollars to 59.20 US dollars, narrowing the decline to 0.3%. Russian President Putin stated that Russia will step up its attacks on Ukrainian ports. If Ukrainian attacks persist, Russia may target Ukrainian oil tankers. On the same day, President Putin held a meeting with a U.S. envoy. Zelenskyy noted that there is no simple solution for a peace agreement between Russia and Ukraine.

Saxo Bank's "outlandish predictions" for 2026: Gold price to hit 10,000 US dollars, quantum computing breakthrough to trigger panic, and AI to spark a comprehensive crisis. Saxo Bank released its "outlandish predictions" for 2026, including that breakthroughs in quantum computing will trigger panic in financial markets, driving the gold price to soar to 10,000 US dollars; and large-scale failures of AI automation systems will lead to a trillion-dollar cleanup operation. Some of the bank's predictions for 2025 have been initially fulfilled, such as an 8% drop in the US dollar and NVIDIA's market value surpassing Apple's.

## Overseas Companies

Top consulting firms like McKinsey freeze starting salaries for the third consecutive year; AI enables "extracting greater value with fewer junior employees". AI is forcing top consulting firms, including McKinsey and BCG, to freeze starting salaries for new graduates for the third year in a row. The reason is that AI technology can "extract greater value from fewer junior employees". This is not just a salary issue, but also a sign that the industry's traditional "pyramid" talent model is facing disruption. With reduced recruitment scales and a talent structure tilting towards experienced professionals, it indicates that a fundamental transformation is taking place in the knowledge service industry.

NVIDIA announces new cooperation achievements: Mistral's open-source model speeds up, improving efficiency and accuracy across all scales. Through optimized technologies tailored for large advanced Mixture of Experts (MoE) models, Mistral Large 3 has achieved industry-leading performance on NVIDIA's GB200 NVL72 system. Its performance is 10 times higher than that of the previous H200 chip, and it can process over 5 million tokens per second per megawatt of energy consumption. The small-model Ministral 3 series can achieve a maximum inference speed of 385 tokens per second on NVIDIA's RTX 5090 GPU.

Valued at $4 billion, NVIDIA-backed Luma AI announces large-scale expansion plan, targeting "world models". Luma AI, a startup supported by NVIDIA, has completed $900 million in financing, with a valuation exceeding $4 billion. It announced plans to expand in London and hire 200 employees. As North American AI laboratories pour into Europe, Luma AI is engaging in increasingly fierce competition with giants like Google and Meta in the fields of generative video and "world models".

Samsung accelerates to catch up with SK Hynix; HBM4 reportedly passes internal tests and is ready to supply NVIDIA. Samsung Electronics' HBM4 chips have passed the internal Production Readiness Assessment (PRA), and the company is accelerating the process of supplying them to NVIDIA. If it successfully enters NVIDIA's supply chain, Samsung's position in the AI chip sector will be significantly enhanced. Earlier, relying on its dominant position in HBM4 supply, SK Hynix raised the unit price of chips by more than 50%, further consolidating its market pricing power. With the approaching mass production of NVIDIA's next-generation GPUs, the competition between the two South Korean semiconductor companies in the high-end memory market is expected to intensify.

Targeting key EUV technologies: The U.S. government bets on laser startup xLight, offering up to $150 million for a controlling stake. Instead of developing entire lithography machines, xLight focuses on the most difficult and critical component in extreme ultraviolet (EUV) lithography systems—the laser. Currently, only ASML globally can produce EUV lithography machines, each costing hundreds of millions of dollars. The core of these machines lies in the laser system that generates 13.5-nanometer wavelength light sources.

# English Translation

The U.S. military is "obsessed" with stock and crypto trading—stock tips are shared even on aircraft carrier decks! A strong investment culture is sweeping across the U.S. military. From aircraft carrier decks to air force bases, service members are enthusiastic about exchanging insights on stocks and various asset investments. Data shows that during the 2021 cryptocurrency market cycle, the participation rate of tax filers at some military bases was more than four times the U.S. national average. This phenomenon, jointly driven by investment trends and the uniqueness of military life, creates wealth while raising concerns about its sustainability due to its high-risk and concentrated investment model.

Bullish on the prospects of its drug pipeline, Bank of America sharply raises Eli Lilly's target price. Bank of America's core reasons for being optimistic about Eli Lilly include: the oral GLP-1 drug orforglipron is set to launch earlier than expected in early 2026, with new drug development progress exceeding forecasts; and the weight loss and diabetes drugs Zepbound and Mounjaro maintain their leading market positions. The bank significantly raised Eli Lilly's target price to $1,286, believing it still has 22% upside potential, and reaffirmed its "Buy" rating.

## Industries/Concepts

1. **Computing Power** | On December 1 (Eastern Time), the annual cloud computing summit hosted by Amazon Web Services (AWS), the world's largest cloud service provider, opened in Las Vegas, USA. Currently, AWS accounts for one-fifth of Amazon's sales and, in many quarters, contributes more than half of the entire Amazon Group's profits. Therefore, this summit is of great significance to Amazon both in the short and long term. According to informed sources, the next-generation model expected to be released by AWS will be a multimodal model capable of processing text, voice, images, and video, as well as generating text and images. JPMorgan analysts predict that Amazon will continue to strengthen its AI and cloud strategies and opportunities at the summit, and may announce updates on multiple fronts.

**Commentary**: China International Capital Corporation (CICC) believes that the quarterly capital expenditures of four North American cloud providers have performed impressively, with upward revisions to their full-year guidance. They remain optimistic about AI investment in 2026, confirming the strong demand for overseas AI computing power. Meanwhile, AI demand continues to outpace supply, accelerating the empowerment of core businesses to achieve commercial closed loops. Earnings conferences of major cloud providers all indicate that AI supply is struggling to meet demand.

2. **Charging Piles** | On December 2, the Shanghai Municipal Transportation Commission and the Shanghai Municipal Development and Reform Commission jointly issued the "Notice on Strengthening the Safety Management of New Energy Vehicle Charging (Battery Swap) Facilities in Public Areas of this City". The notice clarifies that public charging (battery swap) facilities must meet national standards such as "Safety Requirements for Electric Vehicle Conductive Charging Systems" (GB44263) and "Safety Requirements for Electric Vehicle Power Supply Equipment" (GB39752).

In accordance with the "Announcement of the State Administration for Market Regulation on Implementing Compulsory Product Certification for Electric Vehicle Power Supply Equipment", starting from August 1, 2026, all newly built or updated public charging (battery swap) facilities in Shanghai must adopt products that have passed the Compulsory Product Certification (CCC Certification) for charging pile products. Investment and construction enterprises are encouraged to use CCC-certified charging (battery swap) facilities in advance.

**Commentary**: CITIC Securities points out that earlier, six ministries including the National Development and Reform Commission clearly proposed that by the end of 2027, 28 million charging facilities will be built nationwide, providing over 300 gigawatts of public charging capacity to meet the charging needs of more than 80 million electric vehicles and doubling the charging service capacity. Driven by policies, domestic charging infrastructure is expected to usher in a new round of accelerated construction. At the same time, policies emphasize strengthening the fast-charging network, which is expected to significantly drive demand for high-power fast-charging equipment, benefiting relevant charging pile equipment enterprises.

3. **Brain-Computer Interface (BCI)** | According to People's Financial News, the General Office of the Jiangxi Provincial People's Government issued the "Several Measures for Accelerating the Development of Brain-Computer Interface Technology and Industry in Jiangxi Province". It proposes supporting BCI medical devices to be included in the recommended catalog of innovative products, supporting eligible BCI projects to apply for provincial industrial development special funds, accelerating the iterative application and large-scale promotion of complete BCI products, selecting innovative BCI application projects, regularly releasing typical cases and innovative achievements of innovative applications, and promoting the opening of application scenarios. It also encourages advancing the "AI +" initiative to accelerate BCI research and development through AI technology, and organizing BCI technological achievement matching activities relying on the Provincial Science and Technology Achievement Transfer and Transformation Center to accelerate the implementation of innovative achievements.

**Commentary**: Securities Times notes that the BCI industry, as a high-growth track integrating cutting-edge technologies from multiple disciplines, is entering a critical stage of large-scale application driven by strong policy support, the implementation of medical insurance payment, and continuous technological breakthroughs. McKinsey predicts that the global market size of BCI in medical applications will reach $40 billion by 2030 and exceed $145 billion by 2040. Domestic enterprises have kept pace with international leading levels in some areas, with outstanding performance in device miniaturization, signal transmission rate, and safety performance. The related industrial chain is expected to offer good medium and long-term investment opportunities. Considering that BCI is currently in the early stage of commercialization, attention should be paid to relevant targets with advanced clinical progress and rapid commercialization.

4. **Artificial Intelligence (AI)** | According to the official WeChat account of Volcano Engine, the 2025 Volcano Engine Power Summit · Winter is scheduled to be held from December 18 to 19. It will grandly release the full upgrade of the Doubao large model family, the upgrade and ecological expansion of Agent development tools, and the construction of end-to-end AI implementation capabilities.

**Commentary**: Securities Times points out that ByteDance has simultaneously laid out its content ecosystem at home and abroad, and has now formed a full AI industrial chain layout covering models, platforms, applications, and hardware. Among them, ByteDance's model capabilities are slightly lower than those of overseas giants in benchmarks, but it has advantages in multimodal productization and matrix completeness; the application layer is centered on Doubao, with continuous high growth in call volume and monthly active users, while simultaneously deploying native AI products in various fields to build a complete ecosystem; end-side hardware is a key area of continuous layout for ByteDance, with AI-era products including agent headphones and companion toys. Analysts believe that ByteDance has a full-stack layout advantage in cloud infrastructure, large models, and applications, and is expected to lead a new wave of AI enthusiasm.

5. **Satellite Internet** | According to the Internet Society of China, the "Star Gather Ecology · Chain the Future—2025 Satellite Internet Industry Ecology Conference" is scheduled to be held in Shanghai from December 4 to 5. To further strengthen cross-chain collaboration, a signing ceremony for ecological partners of the Shanghai satellite internet industrial chain will be held during the conference, promoting the formation of an industrial network covering R&D, manufacturing, testing, operation, and application links, and jointly building a more open and extensible ecological cooperation pattern. The conference will also grandly release the demand for Shanghai satellite internet industrial projects and application scenarios: project directions cover key links such as satellite manufacturing, constellation networking, terminal R&D, and launch services; application scenarios focus on multiple fields including urban governance, emergency communications, industry expansion, and people-benefiting services.

**Commentary**: China Securities Journal notes that China's satellite internet industry is in a fast development track driven by both policy support and technological innovation. 2025 will become the "first year of commercialization" of China's satellite internet. Satellite internet has been included in China's "new infrastructure" category, becoming an important infrastructure in the digital economy era. Reusable rocket technology is expected to reduce launch costs by 30%-50%, driving the explosion of satellite internet applications. In the future, satellite internet will deeply integrate with 5G/6G technologies to build a global integrated communication network, bringing innovative applications to multiple fields such as intelligent transportation, smart cities, and the Internet of Things, and promoting the development of the digital economy ecosystem.

6. **Bamboo as a Substitute for Plastic** | According to the National Development and Reform Commission, recently, the National Development and Reform Commission held a national on-site meeting on promoting "bamboo substitution for plastic" work in Nanping City, Fujian Province. The meeting systematically summarized the progress and achievements of "bamboo substitution for plastic" work, analyzed the current situation and challenges, and made specific arrangements for further improving policy standards, strengthening innovation-driven development, expanding industrial scale, enriching application scenarios, and deepening international cooperation. Zhejiang Province, Jiangxi Province, Nanping City of Fujian Province, and Chishui City of Guizhou Province exchanged their local work experience and practices in "bamboo substitution for plastic". Experts from the China Circular Economy Association and the International Center for Bamboo and Rattan delivered special reports.

**Commentary**: China Securities Journal points out that the "bamboo substitution for plastic" industry is in a stage of rapid development, with its scale continuously expanding driven by policy support, resource endowments, and market demand. With technological progress and the expansion of application fields, bamboo products will replace plastic in more areas. The market expects that the total output value of the bamboo industry will exceed 1 trillion yuan by 2035, becoming an important solution for global plastic pollution control. In the future, through strengthening technological innovation, improving the industrial chain, and expanding application fields, the "bamboo substitution for plastic" industry will realize the transformation and upgrading from traditional bamboo products to high-value-added and high-tech products, providing strong support for the construction of ecological civilization and the implementation of the rural revitalization strategy.

## Today's Key News Preview

- French President Emmanuel Macron will visit China.

- Final values of November services and composite PMIs for China, the United States, the Eurozone, the United Kingdom, and Japan.

- U.S. November ADP employment change.

- Eurozone October PPI.

- Earnings reports from Salesforce and Snowflake.

- Launch event of Li Auto's AI glasses Livis.

- 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 needs to be prudent. This article does not constitute personal investment advice and does not take into account the specific investment objectives, financial situation, or needs of individual users. Users should consider whether any opinions, views, or conclusions in this article are in line with their specific circumstances. Investment based on this article is at the user's own risk.