China's A-shares close higher on Tuesday, MLCC sector leads gains

China News Service, Beijing, June 2 (Reporter Chen Kangliang) China's A-shares shrank and rose on Tuesday, the 2nd, and the major stock indexes collectively turned red.

As of the close of the day, the Shanghai Composite Index reported 4,075 points, an increase of 0.43%; the Shenzhen Component Index reported 15,591 points, an increase of 1.63%; the GEM Index reported 4,055 points, an increase of 2.66%. The total transaction volume in Shanghai and Shenzhen stock markets was approximately 2,793 billion yuan, a decrease of approximately 84.5 billion yuan from the previous trading day.

In terms of sectors, according to statistics from financial data service provider Oriental Fortune, sectors such as multilayer ceramic capacitors (MLCC), optical communication modules, and glass substrates were among the top gainers on the day. Among them, the MLCC sector recorded a 9.17% increase that day, leading all A-share sectors; in terms of individual stocks, the share prices of Dalicap, Lihexing, Liyuan Information, Hongming Electronics, China Ceramics Materials, etc. rose by more than 10%.

According to public information, MLCC is a chip capacitor formed by alternately stacking multi-layer ceramic dielectric diaphragms and metal internal electrodes, sintering them once at high temperature, and sealing metal external electrodes on both ends. MLCC has a wide range of downstream applications, mainly including consumer electronics, automotive electronics and other industries.

Galaxy Securities analyst Gao Feng said that the development of industries such as artificial intelligence (AI) and new energy vehicles has driven a surge in demand for MLCC, and the MLCC industry is expected to start a new growth cycle. Taking AI servers as an example, some research institutions pointed out that the MLCC usage of AI servers is about 8 to 12 times that of traditional general-purpose servers. It is expected that with the continued development of the AI ​​industry and the advancement of domestic MLCC technology, China's MLCC industry is expected to achieve better development, which will benefit related listed companies. (over)