CSC Financial: 10Y U.S. Treasury fluctuates at a high of 4.7%, interest rate pressure on equities relatively controllable

PANews reported on August 23 that China Securities (CSC Financial) recently said in an article that A-share margin financing and ETF funds have been ebbing and flowing; the clearing-out is not complete but volatility is converging, and break-even selling pressure from earlier bottom-fishing funds may constrain the rebound slope. The 10-year U.S. Treasury yield is fluctuating at a high around 4.7%, reflecting the dual factors of implied inflation and AI debt financing lifting long-end rates. The U.S. Treasury has increased Treasury buybacks, showing that policy is unwilling to let a hard tightening of financial conditions hurt AI and the overall economy, and the pressure of interest rates on equities is relatively manageable. At the strategy level, the repair rally has a floor below and a ceiling above; policy willingness to provide a floor is clear, but incremental funds have not yet formed a combined force, and the market clearly shows characteristics of trading among existing positions, so an upward breakout by the index requires stronger catalysts. At the allocation level, balance high-prosperity sectors with diversified positioning and wait for the technology sector to clear. Key industries to focus on: AI (upstream materials and equipment, domestic computing power, etc.), innovative drugs, nonferrous metals, machinery, new energy, high-dividend sectors, etc.