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Resilience through a challenging macro environment

Chinese equity markets experienced a dynamic month in July, but all indices ultimately ended down. While most major sectors performed better than the previous month, the cyclical sector lagged, revealing clear differences among various sub-sectors. Among all sectors, non-bank financials ranked first, while national defence also did relatively well. In contrast, the energy and consumer sectors, particularly coal, textiles, petrochemicals, light manufacturing, and non-ferrous metals, were the main contributors to the overall downtrend.

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