A-Share August Rebound: Shanghai Composite +2.81%, STAR Composite +10.96%, IT Inflows Over RMB 60 Billion
A-share markets rebounded in the first week of August, led by technology stocks. The Shanghai Composite rose 2.81%, while the STAR Composite surged 10.96%. The ChiNext Index gained 6.55%, the Shenzhen Component Index advanced 5.39%, and the Beijing Stock Exchange 50 Index rose 4.71%. Information technology saw net inflows exceeding RMB 60 billion. More than 4,200 stocks advanced, with over 1,400 gaining more than 10%. The Shanghai Composite is up 3.16% in the first half of 2026.
A-share markets generally rebounded in the first week of August, with technology stocks leading the rally and driving the ChiNext and STAR markets higher. Total turnover across the Shanghai, Shenzhen, and Beijing exchanges reached RMB 12.15 trillion for the week, slightly higher than the previous week. The Shanghai Composite Index rose for a third consecutive week, with a cumulative gain of 3.16% in the first half of 2026, lagging the ChiNext Index and the STAR Composite Index over the same period.
For the week, the STAR Composite Index gained 10.96%, the ChiNext Index rose 6.55%, the Shenzhen Component Index advanced 5.39%, and the Beijing Stock Exchange 50 Index added 4.71%. The Shanghai Composite Index rose 2.81% for the week. The CSI 2000 Index climbed 9.83%, the CSI 1000 Index gained 8.54%, the CSI 500 Index rose 6.49%, and the CSI A50 Index edged up just 0.97%.
Sector performance diverged. Information technology led with a gain of more than 11%, becoming the main driver behind the ChiNext and STAR markets' strength. Materials, healthcare, and industrials also posted notable gains. The financial sector fell this week after five consecutive weekly gains; it had been among the best-performing sectors in July 2026.
In terms of fund flows, the information technology sector saw net inflows of more than RMB 60 billion for the week, while materials and healthcare also recorded net inflows. Industrials, financials, consumer discretionary, and consumer staples each posted net outflows exceeding RMB 10 billion.
Among individual stocks, more than 4,200 stocks rose over the week, representing over three-quarters of all A-shares. More than 1,400 stocks gained more than 10% for the week, with over 400 rising more than 20%. Among the top 20 gainers, more than half had fallen more than 30% in July 2026, indicating that the rally was largely driven by a rebound from sharp declines. Only about 10 stocks fell more than 10% for the week.