August 20th Macroeconomic Index: Four New Indices Including STAR 200 to be Released, Power Grid Planning Accelerates

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Domestic News

1. Chairman of the State Grid: Carry out the preliminary planning of the "15th Five-Year Plan" power grid in advance, and accelerate the construction and intelligent transformation of power grid infrastructure

2. The maximum single-day shipment is of 170,000 tons. The Yangtze River Delta Railway has strengthened the supply of transportation capacity to ensure the transportation of thermal coal

3. Four indices including the STAR 200 Index will be released this week

4. China Nuclear Power: Jiangsu Xuwei Nuclear Energy Heating Power Plant Phase I Project was approved

5. National Standing Meeting: Study policies and measures to promote the high-quality development of specialized and new small and medium-sized enterprises

International News

1. Netanyahu plays the two-faced man to pacify United States while pressuring his subordinates

2. Goldman Sachs strategists: United States stocks will rise in the next four weeks

3. Analysts: Oil prices are lower due to the easing of geopolitical risks and demand concerns

4. The 10th China-Russia Finance Ministers' Dialogue was held in Moscow, Russia

5. Yuyuan Tantian: Details of the Sino-US Financial Working Group Meeting was disclosed

Domestic News

1. Chairman of the State Grid: Carry out the preliminary planning of the "15th Five-Year Plan" power grid in advance, and accelerate the construction and intelligent transformation of power grid infrastructure

The Party Group of the State Grid Corporation of China held a meeting, and Chairman Zhang Zhigang emphasized that it is necessary to accelerate the construction of a new power system. Strengthen planning and guidance, carry out the preliminary planning of the "15th Five-Year Plan" power grid in advance, accelerate the construction and intelligent transformation of power grid infrastructure, and promote the construction of pump and storage projects. Second, we must comprehensively strengthen scientific and technological innovation. We will continue to improve the scientific and technological innovation system, strengthen key core technology research and basic research, and empower green transformation with digital technology. Third, we must continue to consolidate the institutional and institutional guarantees for energy transition. We will further improve market functions, improve trading rules, continue to promote the construction of a multi-level unified power market system, and promote the improvement of the market mechanism for new energy participation. Fourth, we must help the green transformation of transportation. Coordinate the layout of charging facilities and the construction and transformation of distribution networks, strongly support the rapid development of new energy vehicles, and actively support the development of port shore power. Fifth, we must promote the formation of a green production and lifestyle. Accelerate the construction of the company's carbon management and carbon business system, accelerate the formulation of the company's carbon-related standards, build green industrial clusters, and actively promote energy conservation and efficiency improvement in key areas.

2. The maximum single-day shipment is of 170,000 tons. The Yangtze River Delta Railway has strengthened the supply of transportation capacity to ensure the transportation of thermal coal

In August, the country continued to have high temperatures, the electricity demand of enterprises and residents continued to rise, and the power generation of many power plants in the Yangtze River Delta region hit a record high in the same period in history. To this end, China Railway Shanghai Bureau Group Co., Ltd. optimized the transportation organization, strengthened the supply of transportation capacity, and ensured the smooth transportation of thermal coal in 18 direct power supply plants in the jurisdiction, as of mid-August, the total coal storage of each power plant was 3.64 million tons, a year-on-year increase of 2.4%. The reporter learned that since the peak of electricity consumption in the summer, the Yangtze River Delta Railway has shipped a total of 82,000 cars of thermal coal, more than 5.18 million tons; The highest single-day shipment was 2,698 cars and 170,000 tons. The relevant staff of the freight department of Shanghai Bureau Group Company said that the railway department will further give full play to the advantages of the Yangtze River Delta road network, give priority to ensuring the transportation of national economy and people's vital living materials such as thermal coal, strengthen transportation organization, increase the supply of transportation capacity, and fully guarantee the demand for thermal coal transportation in the summer.

3. Four indices including the STAR 200 Index will be released this week

This week, four indices, including the STAR 200 Index, will be officially released, which will help further enrich and improve the index system of the STAR Market. According to the announcement, the SSE STAR Market 200 Index will be released on August 20, and the SSE STAR Market Profit Quality Strategy Index, SSE STAR Market Innovative Drug Index, and SSE Smart STAR Market Value 50 Strategy Index will be released on August 23. According to statistics, after the official release of these four indexes, the number of indexes on the Science and Technology Innovation Board will reach 24, with a total scale of nearly 160 billion yuan of domestic and foreign tracking products. From the perspective of the sector index of the STAR Market, the three major indices of the STAR 50, STAR 100 and STAR 200 will jointly constitute the SSE STAR Market Scale Index Series, reflecting the overall performance of the securities of listed companies with different market capitalizations in the STAR Market.

4. China Nuclear Power: Jiangsu Xuwei Nuclear Energy Heating Power Plant Phase I Project was approved

On August 19, 2024, after deliberation at the executive meeting of the State Council, China Nuclear Power decided to approve the first phase of the Xuwei Nuclear Power Plant in Jiangsu Province, which has been included in the national plan and has undergone a comprehensive safety assessment review, announced in the evening. CNNC Suneng Nuclear Power Co., Ltd., a subsidiary of the company, is responsible for the investment, construction and operation management of the project as the owner of the approved project. The first phase of the project plans to build 2 "Hualong No. 1" pressurized water reactor nuclear power generating units and 1 high-temperature gas-cooled reactor nuclear power generating unit (rated power of 660MW), supporting the construction of steam heat exchange stations, after the completion of the design conditions will have both high-quality steam supply capacity and power generation capacity. At present, the project site is steadily and orderly advancing the preparatory work before the start of construction.

5. National Standing Meeting: Study policies and measures to promote the high-quality development of specialized and new small and medium-sized enterprises

Li Qiang presided over an executive meeting of the State Council to study policies and measures to promote the high-quality development of specialized, special and new small and medium-sized enterprises. The meeting pointed out that it is necessary to vigorously cultivate and develop specialized, special and new small and medium-sized enterprises, strengthen the coordination of policies such as finance and taxation, finance, science and technology, industry, and talents, and support the innovation and development of enterprises in the whole chain. It is necessary to continue to optimize the development environment, improve mechanisms such as gradient cultivation, factor guarantee, and public services, and help enterprises solve practical difficulties. It is necessary to take the implementation of large-scale equipment renewal as an opportunity to promote the digital, intelligent and green transformation of specialized, special and new small and medium-sized enterprises, and continuously improve their core competitiveness.

International News

1. Netanyahu plays the two-faced man to pacify United States while pressuring his subordinates

Israel Prime Minister Benjamin Netanyahu told United States Secretary of State Antony Blinken on Monday that he was committed to a hostage and ceasefire deal in Gaza, but Israel officials said he refused to give his negotiators enough space to reach a deal, according to the AXIOS. Netanyahu's negotiating team reported to him on Sunday that a deal could be reached if he is willing to offer more room to maneuver. Two senior Israel officials said Netanyahu refused to budge and condemned the negotiating team for "capitulating." Netanyahu went on to argue that if Israel takes a firm stance, Hamas will eventually give in. The White House previously claimed that significant progress had been made in the talks in Doha last week, with Blinken saying Netanyahu had accepted the proposal of the United States and that Hamas now had a responsibility to agree to a ceasefire. The statement confused some Israel officials, who said Netanyahu's hardline way had actually made it harder to reach a deal. Netanyahu endorsed United States' proposal, but he knew Hamas would reject it because it included several of his latest demands.

2. Goldman Sachs strategists: United States stocks will rise in the next four weeks

Scott Rubner, managing director and strategist at Goldman Sachs Global Markets, said United States stocks are poised to rebound over the next four weeks, driven by positive technology stock dynamics and corporate buybacks. "The bar to remain bearish during the Labor Day holiday is high," Rubner wrote in the note. "Total exposure to rules-based systemic funds has increased from $450 billion in July to $250 billion now. Funds that followed the trend began to re-leverage. Commodity trading advisors (CTAs) are expected to see strong buying demand in the coming week. Regardless of the market movement, a commodity trading advisor is likely to buy stocks. Business demand will also be a boost. But he warned that after Sept. 16, the stock market could move negatively, as the second half of September has traditionally been the worst two weeks of the year. Rubner expects the S&P 500 to reach 6,000 points in November and December.

3. Analysts: Oil prices are lower due to the easing of geopolitical risks and demand concerns

Oil prices are trading lower today amid easing geopolitical risks and ongoing concerns about the demand outlook. Sparta's Peter Cardillo said in the report that new negotiating efforts to end the conflict in Gaza, as well as the possible phase-down of some of the production cuts by OPEC+, overshadowed "the potentially serious geopolitical consequences of the Middle East and Russia-Ukraine situation." "Technically, oil prices are currently retraced from their recent strength and are likely to continue to move lower," he added. ”

4. The 10th China-Russia Finance Ministers' Dialogue was held in Moscow, Russia

On August 19, 2024, the 10th China-Russia Finance Ministers' Dialogue was held in Moscow, Russia. Minister of Finance Lan Foan and Minister of Finance of Russia Anton · Siluanov co-chaired the meeting. The two sides discussed and reached consensus on topics such as macroeconomic situation and policies, bilateral fiscal and tax cooperation, financial think tank cooperation, local fiscal and tax exchanges and cooperation, as well as China-Russia cooperation under multilateral frameworks such as the G20 financial channel, the BRICS financial mechanism and multilateral financial institutions, and issued the Joint Statement on the 10th China-Russia Finance Ministers' Dialogue.

5. Yuyuan Tantian: Details of the Sino-US Financial Working Group Meeting was disclosed

On August 15-16, the Sino-US Financial Working Group held a meeting. There are two differences between this meeting and the previous ones: First, the venue of the meeting has changed. Previously, the working group met in Beijing with Washington, this time in Shanghai. Second, the scope of the meeting has been expanded. After the meeting, the working group invited Chinese and American financial institutions to participate in a roundtable to listen to their opinions and suggestions and jointly explore potential cooperation points between China and the United States in the financial field. Notably, the working group announced two outcomes on strengthening Sino-US cooperation on financial stability. This is the first time since the establishment of the Sino-US Financial Working Group.

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