Morning News

# Market Overview & Key News

Source: Wall Street News

## Market Overview

The Federal Reserve announced its third interest rate cut this year, alongside a plan to purchase short-term bonds—dubbed a "QE without being QE" by the market. Fed Chair Jerome Powell's remarks struck a more dovish tone than expected.

U.S. stocks closed higher, with small-cap stocks leading the gains. Oracle plummeted over 10% after releasing earnings, dragging down Nvidia by more than 1% in after-hours trading.

U.S. Treasury yields declined across the board, with the interest rate-sensitive 2-year Treasury yield falling over 7.6 basis points.

The U.S. dollar dropped nearly 0.6%, hitting its lowest level since October 29. Bitcoin briefly touched yesterday's high before sliding over 2.2%. Ethereum rallied and then pulled back, ending the day up 1.2%.

Precious metals advanced broadly: Gold fluctuated within a wide range, closing 0.53% higher than yesterday's close. Silver hit a new record high after digesting the Fed's rate cut decision, surging over 2% intraday. Crude oil staged a deep V-shaped reversal, with U.S. crude rising more than 2.2% from its intraday low.

During the Asian session, A-shares rebounded after testing lows: The real estate sector saw a wave of limit-ups, with Vanke's stocks and bonds both rallying. Retail stocks remained strong throughout the day, and Muxi Threads surged over 15%. Hong Kong stocks closed higher, led by sharp gains in non-ferrous metals.

## Key News

- China's November CPI rose 0.7% year-on-year, the highest since March 2024, while the year-on-year decline in PPI widened slightly.

- The real estate sector surged in afternoon trading: Discussions on Vanke's bond extension and market expectations for a "mortgage interest subsidy" policy were the core drivers of sentiment.

- The Federal Reserve delivered a widely expected 25-basis-point rate cut, though three committee members dissented. It still projects one more cut next year and will purchase $40 billion in short-term bonds. Powell stated: "Bond purchases may remain at a relatively high level in the coming months; the labor market is gradually cooling but slower than expected; we can be patient with current interest rates; and the impact of tariffs is expected to fade gradually next year." The "Fed Whisperer" noted: "The Fed signaled a pause in rate cuts." The new Bond King commented: "This may be Powell's last rate cut in his tenure."

- Trump plans a "final interview" for Fed Chair: Hassett is not a done deal, and Bessent still has a chance to take over later. Hassett stated: "Trump will make a final decision on the Fed Chair nominee within 1-2 weeks, and reiterates that the Fed still has significant room for rate cuts."

- U.S. employment cost growth hit a more than four-year low, easing inflationary pressures.

- Global long-term Treasury yields soared to a 16-year high, as the market bets the global rate-cutting cycle is coming to an end.

- Amid silver's historic rally, the Silver Institute released a "landmark report": Demand from sectors such as photovoltaics, electric vehicles, and data centers is surging, and global industrial silver demand will continue to grow over the next five years.

- Oracle's earnings missed expectations on revenue and cloud business, with capital expenditures exceeding forecasts by approximately $15 billion; the stock plummeted over 10% in after-hours trading.

- Meta shifts strategy: Zuckerberg takes direct charge, adopts Alibaba's Qwen model for training, moving from open-source to profit-driven closed-source AI.

- Trump disrupts Warner's "blockbuster acquisition": Paramount throws a $100 billion cash offer to "poach" the deal, while Netflix needs to "pay more" to win.

- Bank of America's in-depth report on autonomous driving: The driverless ride-hailing market could reach trillions, with a $2 per mile cost being the tipping point.

## Market Closing Quotes

### U.S. & European Stocks

- S&P 500: +0.67% to 6,886.68

- Dow Jones Industrial Average: +1.05% to 48,057.75

- Nasdaq Composite: +0.33% to 23,654.155

- Euro Stoxx 600: Flat at 577.78

### A-Shares

- Shanghai Composite Index: -0.23% to 3,900.50

- Shenzhen Component Index: +0.29% to 13,316.42

- ChiNext Index: -0.02% to 3,209.00

### Bond Market

- U.S. 10-year Treasury Yield: -4.10 bps to 4.1468%

- U.S. 2-year Treasury Yield: -7.65 bps to 3.5381%

### Commodities

- U.S. Crude Oil (WTI): +0.95% to $58.87/barrel

- Brent Crude Oil: +0.91% to $62.58/barrel

- COMEX Gold Futures: +0.50% to $4,257.20/ounce

- COMEX Silver Futures: +2.27% to $62.230/ounce

# Detailed Key News

## Global Highlights

China's November CPI rose 0.7% year-on-year (YoY), the highest since March 2024, while the YoY decline in PPI widened slightly. In November, residential consumption continued to recover: CPI edged down 0.1% month-on-month (MoM) but rose 0.7% YoY, an increase of 0.5 percentage points from the previous month. The YoY growth, driven mainly by a shift from decline to increase in food prices, marked the highest level since March 2024. Core CPI (excluding food and energy prices) rose 1.2% YoY. Affected by factors such as optimized supply-demand structures in some domestic industries and the transmission of international commodity prices, PPI rose 0.1% MoM for the second consecutive month and fell 2.2% YoY.

Tao Chuan's team at Guolian Minsheng Macroeconomics noted that November's CPI increase to 0.7% and PPI drop to -2.2% (a "one-up, one-down" pattern) reflects structural contradictions in economic recovery. The CPI rebound relies primarily on seasonal food price hikes and rising gold prices, with an unstable foundation. The weaker-than-expected PPI indicates a slowdown in "anti-involution" policies and deepening divergence between upstream industry gains and losses. Sustained policy support is needed to promote trade-in programs for consumer goods, unlock service consumption potential, and consolidate the foundation of domestic demand.

Liang Zhonghua's team at Guotai Haitong Macroeconomic Research stated that CPI was mainly driven by food prices, fiscal subsidies, and gold prices, but core service prices were weaker than seasonal levels, requiring continued policy support. PPI was supported by rising prices of upstream non-ferrous metals, while downstream durable goods consumption remained sluggish. The divergence between upstream and downstream sectors reflects insufficient domestic demand. The key to price recovery in 2026 will shift from physical consumption to the recovery elasticity of service CPI, which hinges on further policy efforts.

The real estate sector surged in afternoon trading, with discussions on Vanke's bond extension and market expectations for a "mortgage interest subsidy" policy as the core drivers of sentiment. Huatai Securities pointed out that since 2023, cities including Nanjing, Changchun, Yuncheng, and Wuhan have launched mortgage interest subsidy policies. Founder Securities noted that the logic lies in constructing a win-win model for three parties: "fiscal authorities subsidize interest spreads, banks expand lending, and demand side benefits." The inversion between interest rates and rental yields highlights the necessity of such policies.

The Federal Reserve delivered a widely expected 25-basis-point (bp) rate cut, though three committee members dissented. It still projects one more cut next year and will purchase $40 billion in short-term bonds. Powell stated: "Bond purchase volumes may remain at a relatively high level in the coming months; the labor market is gradually cooling but slower than expected; we can be patient with current interest rates; and the impact of tariffs is expected to fade gradually next year."

The Fed's rate decision faced three dissents for the first time since 2019: one member advocated for a 50bp cut, while two voting members and four non-voting members supported holding rates steady—amounting to seven opposing the decision, marking the largest divergence in 37 years. The meeting statement removed the reference to "unemployment remaining low" and added consideration of the "extent and timing" of further rate cuts, seen as a signal of a higher threshold for future cuts. To maintain sufficient reserves, the Fed will start purchasing short-term Treasury bonds on Friday, with purchases expected to remain elevated in Q1 2025.

On December 10, the Federal Reserve cut rates by 25bps as scheduled and launched short-term U.S. Treasury purchases. Powell emphasized that "a rate hike at the next meeting" is not anyone's baseline assumption, noting that job growth may have been overestimated—possibly turning slightly negative since April. The labor market continues to cool gradually, albeit slightly more moderately than previously expected. Regarding inflation, he stated that the impact of tariffs is expected to fade next year, adding that current interest rates allow the Fed to be patient and observe economic developments. He noted that short-term bond purchase volumes may remain high in the coming months, clarifying that the Fed is not strictly "worried" about money market tensions but that such conditions emerged slightly earlier than anticipated.

Following the Fed's 25bp rate cut and short-term bond purchase announcement—along with Powell's more dovish-than-expected remarks—U.S. stocks hit intraday highs. However, near the end of Powell's press conference, the S&P 500's gain narrowed from 1.2% to 0.7%. The 2-year U.S. Treasury yield fell 7.5bps intraday, the ICE U.S. Dollar Index dropped over 0.6%, spot gold rose 0.6% to a new intraday high near $4,239, and Bitcoin briefly surged to a daily high of around $94,500 before a significant pullback.

The "Fed Whisperer" (Nick Timiraos) noted: "The Fed signaled a pause in rate cuts." The new Bond King (Jeffrey Gundlach) commented: "This may be Powell's last rate cut in his tenure." Timiraos wrote that the coexistence of U.S. inflationary pressures and a cooling labor market presents a tricky dilemma for the Fed—one not seen in decades. Gundlach, of DoubleLine Capital, stated that rate cuts will occur after Powell leaves office, which will weaken the U.S. dollar.

Trump plans a "final interview" for Fed Chair: Hassett is not a done deal, and Bessent still has a chance to take over later? The race for Fed Chair has intensified, with Trump set to interview former Governor Kevin Warsh this week, casting uncertainty over the nomination of front-runner Hassett. Meanwhile, U.S. officials have discussed appointing Hassett to a shorter-than-usual term as Fed Chair, potentially paving the way for Bessent to take over in the future.

Hassett stated: "Trump will make a final decision on the Fed Chair nominee within 1-2 weeks." Forty minutes before the release of the Fed's December FOMC statement, Kevin Hassett—dubbed the "shadow Fed Chair" and Director of the White House National Economic Council—reiterated that the Fed still has significant room for rate cuts.

U.S. employment cost growth hit a more than four-year low, easing inflationary pressures. The Q3 Employment Cost Index (ECI) rose 3.5% YoY, the lowest in nearly four years, with the MoM increase also below expectations. Data indicates a significant cooling in the job market: slower hiring, increased layoffs, and a voluntary quit rate falling to its lowest level since 2020—reflecting weakened worker confidence and reduced market liquidity. Real wage growth (adjusted for inflation) remains sluggish. This trend provides key support for the Fed's inflation-fighting efforts and signals a shift from a tight to a balanced labor market.

Global long-term Treasury yields soared to a 16-year high, as the market bets the global rate-cutting cycle is coming to an end. Market analysts argue that while the Fed expects further rate cuts, concerns over long-term inflation, fiscal deficits, and policy independence have pushed U.S. Treasury yields higher, triggering "disappointment trades" across Europe, the U.S., Japan, and Australia. With rising rate-hike expectations in multiple countries and accelerated fiscal expansion, global long-term borrowing costs face sustained upward pressure.

Amid silver's historic rally, the Silver Institute released a "landmark report." The report指出 that surging demand from sectors such as photovoltaics (PV), electric vehicles (EVs), and data centers will drive continued growth in global industrial silver demand over the next five years. Global solar installed capacity is projected to grow at an annual rate of 17% through 2030, with silver as the preferred material for conductive pastes in solar cells. Silver demand from the automotive industry will increase by 3.4% annually between 2025 and 2031, reaching approximately 94 million ounces by 2031. Global data center capacity has grown 53-fold from 0.93 gigawatts (GW) in 2000 to nearly 50 GW in 2025, with core components such as servers, switches, and cooling systems requiring silver.

Will gold stage a catch-up rally after silver's surge? Analysts believe that following silver's sharp short squeeze, gold presents a catch-up opportunity. Gold's technical pattern remains robust, with relatively low option volatility offering a tactical positioning window. Insufficient capital inflows, room for emerging market central banks to increase holdings, and seasonal strength from year-end to early next year suggest that gold's upward momentum warrants attention.

Oracle's earnings missed expectations, with capital expenditures exceeding forecasts by approximately $15 billion; the stock plummeted over 10% in after-hours trading. After the U.S. market close on Wednesday, Oracle reported Q2 results showing revenue and cloud business performance below analysts' expectations, quarterly free cash flow (FCF) of -$10 billion, and annual capital expenditures projected to be about $15 billion higher than previously anticipated.

Meta shifts strategy: Zuckerberg takes direct charge, adopts Alibaba's Qwen model for training, moving from open-source to profit-driven closed-source AI. Citing informed sources, media reported that Meta used Alibaba's Qwen large language model to optimize its new AI model "Avocado," which is expected to debut in spring 2025 as a closed-source product. This move marks a key step in Meta's transition from an open-source strategy to closed-source commercialization.

Trump disrupts Warner's "blockbuster acquisition": Paramount throws a $108 billion all-cash offer to "poach" the deal, while Netflix needs to "pay more" to win. Paramount launched a hostile takeover bid of $108 billion in all cash, offering not only a more attractive price but also leveraging its long-standing friendly relationship with the Trump team to gain inherent advantages under the new government's regulatory framework. In contrast, Netflix's only viable path to overcome regulatory disadvantages is to continue raising its bid—enough to convince Warner's shareholders to take on regulatory risks.

Bank of America's in-depth report on autonomous driving: The driverless ride-hailing market could reach trillions, with a $2 per mile cost being the tipping point. BofA argues that if autonomous driving reduces per-mile costs from the current $2.5-$3 to below $2 (approaching the $0.7-$1.06 cost of private cars) and achieves 20% penetration, the market size could reach $0.9-$1.2 trillion. Even if Uber's market share drops to 50%, its order volume could still achieve a 17% compound annual growth rate—though it faces price competition threats from giants like Waymo and Tesla.

# English Translation

## Domestic Macroeconomics

Li Li, Director of the National Medical Products Administration (NMPA): Accelerate the review and approval of overseas new drugs in urgent clinical need, orphan drugs, and pediatric drugs. In an interview, Li Li stated that the NMPA will strengthen its people-centered awareness and expedite the fulfillment of clinical medication needs. By fully leveraging accelerated channels such as breakthrough therapy designation, conditional approval, priority review and approval, and special approval, the administration will speed up the review and approval of overseas new drugs in urgent clinical need, orphan drugs, and pediatric drugs. This will shorten the distance from laboratory to bedside for new drugs, enabling innovative achievements to benefit people's livelihoods faster. While maintaining uncompromised standards and procedures, the NMPA will steadily expand the scope of consistency evaluation for generic drugs' quality and efficacy, ensuring affordable and high-quality medicines reach more patients.

## Domestic Companies

The share exchange and absorption merger plan between China's two leading computing power giants, Hygon Information and Sugon, which took six months, has been officially terminated. In a joint announcement, both parties stated that due to significant changes in the market environment and immature transaction conditions, they have decided to terminate the major asset restructuring. Despite the failed merger, both sides emphasized that they will maintain and deepen strategic synergy and cooperation across the computing power industrial chain.

Computing power demand shows no signs of slowing down! November results of the "Big Three AI Server Contract Manufacturers" hit all-time highs. Wistron led the growth with a significant 194.6% year-on-year (YoY) revenue increase in November, driven by record AI server shipments; Quanta Computer's November revenue rose 36.5% YoY, mainly benefiting from strong AI server shipment momentum; Wiwynn's November revenue surged 158.6% YoY, supported by sustained demand from major cloud service provider clients.

AI demand continues to drive growth: TSMC's November sales rose 24.5% YoY. TSMC reported November sales of NT$343.61 billion, a 24.5% YoY increase but a 6.5% month-on-month (MoM) decrease. Cumulative sales for the first 11 months reached NT$3.47 trillion, a substantial 32.8% YoY growth.

Top 10 shareholders of polysilicon capacity integration platform Guanghe Qiancheng disclosed. Among them, Tongwei PV Technology (Emei Mountain) Co., Ltd. holds a 30.35% stake, GCL Technology Consulting Services (Suzhou) Co., Ltd. holds 16.79%, and Shanghai East Hope New Energy Technology Co., Ltd. holds 11.3%, ranking as the top three shareholders.

## Overseas Macroeconomics

Trump: Will impose tariffs on Canadian fertilizers if necessary. To boost domestic U.S. fertilizer production, Trump threatened to impose "very severe" tariffs on Canadian fertilizers if needed. The remarks come as the U.S. prepares a $12 billion farmer assistance program to mitigate cost pressures from tariffs. Given the U.S. market's high dependence on Canadian potash and nitrogen fertilizers, any new tariffs could severely disrupt its agricultural supply chain and raise production costs for American farmers.

Goldman Sachs warns clients: Las Vegas' collapse preceded the 2008 financial crisis—and it's "repeating now." Goldman Sachs analysts caution that the current downward trend in Las Vegas gaming revenue closely mirrors the early warning signs before the 2008 financial crisis. The report notes that while some sectors like air travel demand remain resilient, if weakness spreads to broader areas such as aviation in the future, the Federal Reserve may be forced to consider more aggressive interest rate cuts.

Deutsche Bank: Rapid rate cuts outside recessions are often followed by rate hikes. Deutsche Bank warns that the Federal Reserve's current pace of rate cuts is extremely rare in non-recessionary periods. Historically, while such policies support markets in the short term, they are prone to triggering economic overheating and inflationary rebounds, ultimately forcing central banks to "hit the brakes" and raise rates again. Market expectations in the Eurozone, Canada, and other international markets have shifted toward rate hikes, signaling a potential U.S. follow-up.

No rate cuts next year? Lagarde: ECB may raise economic growth forecasts next week. European Central Bank (ECB) President Christine Lagarde stated that due to the Eurozone economy's resilience amid external trade pressures, the ECB may raise its economic growth forecasts in the new projections to be released next week. Following hawkish comments from ECB Executive Board members, money markets have sharply revised their expectations for the ECB's policy path—traders now price in a 50% probability of a rate hike by the end of 2026 and fully rule out rate cuts.

Latest progress in mediating the Russia-Ukraine conflict: Zelensky softens stance on elections, "peace plan" split into three parts. According to Xinhua News Agency, President Zelensky announced that the initial 28-point "peace plan" has been split into three documents: a 20-point framework agreement, a U.S.-EU security guarantee document for Ukraine, and a post-war reconstruction document for Ukraine. He stated that Ukraine is willing to hold elections within 60 to 90 days if the U.S. and EU can ensure election security. Since December 8th, Zelensky has met with several European leaders, including Keir Starmer, Emmanuel Macron, and Friedrich Merz.

## Overseas Companies

Google poses the most severe challenge: OpenAI's "major strategic shift"—prioritizing "user engagement" over "AGI achievement." Facing intense competition from Google, OpenAI has activated a "red code" alert, suspending long-term projects like Sora to concentrate resources on boosting ChatGPT's user engagement and stabilizing market share amid revenue pressure and user attrition. This shift signifies that short-term business goals have temporarily taken precedence over the long-term vision of achieving Artificial General Intelligence (AGI) amid survival and competitive realities.

Tech investment tycoon: Nvidia's GPUs will disrupt Google's TPU advantage next year. Investor Gavin Baker notes that Google's TPUs currently lead Nvidia's fourth-generation Hopper chips in AI training costs, allowing Google to operate at a -30% profit margin to suppress competitors. However, the launch of Nvidia's Blackwell chip clusters in early 2026 will reverse this trend. Google's conservative design and supply chain strategies for TPU development may limit its long-term competitiveness. Once it loses its cost advantage, Google's loss-making operations will become unsustainable, reshaping the competitive landscape of the AI industry.

Howard Marks of Oaktree Capital: Nvidia's 30x P/E ratio "isn't crazy"—AI isn't necessarily a repeat of the dot-com bubble. Marks stated, "This time is different": AI products already exist, demand for them is exploding, and they are generating revenue at a rapidly growing rate. Additionally, valuation ratios of mature players, such as price-to-earnings (P/E) ratios, are reasonable—Nvidia's forward P/E ratio of approximately 30x, while high for an exceptional company generating substantial profits, is not crazy. It is far lower than the trading levels of some telecom, media, and technology stocks during the 1999 dot-com boom.

"Memory giant" SK Hynix considers U.S. listing to eliminate "Korean discount"—no final decision yet.

$2.9 trillion in demand: SpaceX races toward IPO—will it trigger a "super unicorn" listing wave? Elon Musk's SpaceX may go public in the mid-to-late 2026, with a valuation potentially reaching $1.5 trillion, expected to become the largest IPO in history. This move could break the stalemate of giant unicorns lingering in the private market, prompting "decacorns" like Stripe to go public. Its massive fundraising scale will test market infrastructure and investors' acceptance of high-valuation companies, while direct listings may emerge as an alternative for giants with no financing needs. The market widely views this as a core bellwether, potentially restarting the global super IPO cycle.

Musk "regrets" entering politics: DOGE was barely successful, but he wouldn't take it on again. Musk admitted that leading DOGE achieved only limited results and stated he would not take on similar roles in the future. Related controversies have severely backfired on Tesla, even leading to vehicle vandalism. This statement is seen as a signal that he will refocus on core businesses, addressing long-standing investor concerns about his divided attention.

## Industries/Concepts

1. **Memory Chips** | According to Jiemian News, memory module manufacturers report that the current NAND shortage is far more severe than previous cycles. Many peers have inventory sufficient only until Q1 2026, with some facing stockouts starting in March and a full-scale shortage expected after Q2. NAND prices are rising too rapidly—Micron's recent NAND quotes increased by nearly 50% month-on-month. Fearing cost inversion if original manufacturers adjust prices again before shipment, module manufacturers have switched to Open Order (floating price) models for orders.

  - **Commentary**: Analysts attribute the core driver of this NAND price hike to original manufacturers accelerating capacity shifts toward high-margin enterprise and AI applications, coupled with the rapid withdrawal of old-process capacity, leading to worsening structural shortages in wafer supply. The rapid price surge across all capacity segments reflects the strengthening boom in the memory industry chain. Institutions note that due to strong growth in AI inference demand and limited supply growth, the global NAND industry's supply-demand balance is expected to remain tight in 2026, with product prices maintaining high levels. The memory sector is favored for allocation opportunities.

2. **Drones** | According to Sina Finance, Meituan's low-altitude air network press conference was held on December 19th. The core focus of the conference was Meituan's integrated low-altitude air network system, which integrates three core modules: drones, intelligent takeoff/landing points, and low-altitude traffic management systems. Covering urban core business districts and communities, the system achieves "15-minute delivery within a 3-kilometer radius."

  - **Commentary**: Analysts note that the 14th Five-Year Plan has designated low-altitude economy as a strategic emerging industry, with local governments allocating 10-billion-level investments in low-altitude infrastructure. As an industry pioneer, Meituan has verified the feasibility of its business model, with cost advantages and user experience gaining market recognition. Combined with Meituan's earlier approval of China's first full-territory operation license for low-altitude logistics, the launch of this air network marks a shift from "single-point pilots" to "national replication"—future expansion of takeoff/landing point networks across more cities will transform drone delivery from a "novelty service" to a daily logistics option. Meituan's drone business is expected to become its third growth curve after food delivery and in-store services, reshaping the industrial chain's value distribution. The low-altitude economy market is projected to reach 1.5 trillion yuan by 2025 and 3.5 trillion yuan by 2035, ushering in a golden development period for related enterprises.

3. **Optical Design** | According to the Ministry of Industry and Information Technology, Professor Hou Qingyu's team from the School of Astronautics and Zhengzhou Research Institute of Harbin Institute of Technology recently achieved a major breakthrough in computational optical imaging, with related results published in the top optical journal *Optica*. This research breaks the theoretical framework of traditional optical design, significantly reducing the reliance of high-resolution imaging on complex optical systems. It holds broad application prospects in fields sensitive to size and weight, such as mobile phone photography, medical endoscopes, and automotive sensing.

  - **Commentary**: Analysts state that this breakthrough in high-resolution computational imaging marks a paradigm shift—from "adding hardware" to "reducing hardware while adding information processing." This new paradigm not only lowers dependence on high-precision optical manufacturing but also provides lightweight, low-cost solutions for various optical systems. It is expected to drive imaging technology innovations in multiple industries, including mobile phones, medical devices, and automobiles, in the next few years. As the technology matures and applications expand, computational imaging will become the mainstream technical route in high-resolution imaging.

4. **Alibaba** | On December 10th, Alibaba officially announced that its Qianwen AI assistant surpassed 30 million monthly active users (MAU) across App, Web, and PC platforms just 23 days after its public beta launch on November 17th, becoming the world's fastest-growing AI application. Additionally, Qianwen App launched new features, accelerating its transformation from a "chatbot" to a "practical tool." Initially, four new functions—AI PPT, AI Writing, AI Library, and AI Problem Solving—are open to all users. Alibaba has established a Qianwen C-end business group, led by Wu Jia, Vice President of Alibaba Group.

  - **Commentary**: Meanwhile, OpenAI plans to respond to Google's Gemini 3 series for the first time with the upcoming GPT-5.2, which is already ready for release. GPT-5.2 is expected to narrow the gap opened by Google's Gemini 3 launch last month. The rapid advancement of AI applications will help improve application scenarios and build more business models.

5. **Low-Altitude Economy** | According to Xinmin Evening News, on the morning of December 10th, the first regular low-altitude drone medical sample delivery route in Shanghai was officially launched at Renji Hospital Affiliated to Shanghai Jiao Tong University School of Medicine. Guided by the shared vision of "empowering medical care with technology and safeguarding health with efficiency," Renji Hospital took the lead in collaborating with Meituan Drones, China Telecom Shanghai, and Jichen Health Company to launch Shanghai's first batch of regular low-altitude drone medical sample delivery routes. The routes are initially deployed for transportation between Renji Hospital's East, South, and North campuses.

  - **Commentary**: Guojin Securities notes that low-altitude economy is a preferred direction for local governments to expand investment, as the "low-altitude +" economy represented by new quality productive forces can generate a multiplier effect on investment.

## Today's Key Events Preview

- U.S. initial jobless claims for the past week.

- Federal Reserve releases U.S. household financial health data from the Q3 2025 Flow of Funds Report.

- Earnings releases: Broadcom, Costco, Lululemon.

- OPEC releases Monthly Oil Market Report.

- IEA releases Monthly Oil Market Report.

<End of Full Text>

## Risk Warning and Disclaimer

The market is risky, and investment requires caution. This document does not constitute personal investment advice and does not take into account individual users' specific investment objectives, financial situations, or needs. Users should consider whether any opinions, views, or conclusions in this document are suitable for their particular circumstances. Investment decisions made based on this document are the sole responsibility of the user.