As of August 18th, the balance of A-share margin trading and short selling has exceeded 2.1 trillion yuan, and the balance of margin trading has exceeded 2.08 trillion yuan, both reaching new highs in nearly a decade, showing a positive change of both quantity and quality. The increase in volume directly reflects the improvement of market activity and attractiveness, conveying a signal of confidence repair. The balance of financing, especially the financing balance, is a "thermometer" of market sentiment. The increase in its quantity means that investors are optimistic about the market trend and optimistic expectations are warming up, which can also be confirmed by the amount of investor participation. According to Wind data, as of August 18th, the number of individual investors in the two financing markets was about 7.56 million, and more and more investors are choosing to participate in the two financing transactions, casting a "vote of trust" with their actions. The improvement in quality highlights the optimization and maturity of market structure and trading behavior. The balance of the two financing is not a single line growth, but is synchronized with market expansion. Recently, the total market value of A-shares has exceeded one trillion yuan, and the balance of the two financing accounts for 2.1%, which is within a controllable range. At the same time, unlike some previous capital chasing theme speculation, this round of financing funds tends to choose high-quality tracks with stable fundamentals and core competitiveness, and more flows towards the technology growth sector, with a more rational allocation of funds. Funds are more stable, investment is more precise, trading is more rational, and both the quantity and quality of the two financing balances have increased. Behind this is the resonance of the stable economic trend, continuous efforts to stabilize the market policies, and continuous optimization of the market environment. The pace of economic development supports market confidence. Since the beginning of this year, China has intensified the implementation of more proactive macro policies, deepened the construction of a unified national market, sustained growth in production demand, overall stability in employment and prices, and the growth and expansion of new driving forces. The cumulative growth rate of major indicators in July remained overall stable, with the added value of industrial enterprises above designated size increasing by 5.7% year-on-year, and the total retail sales of consumer goods increasing by 3.7% year-on-year. Our country's economic foundation is stable, with many advantages, strong resilience, and great potential. The basic trend of long-term improvement has not changed, providing a strong engine for the stable and far-reaching development of the capital market. The core of "stability" in the capital market has supported investors' optimistic expectations. Currently, stabilizing the capital market has become a key lever to boost confidence and stabilize expectations, and is placed in an important position related to the operation of the national economy. From last September, the People's Bank of China, the State Administration of Financial Supervision and the China Securities Regulatory Commission jointly played a "combination punch" of stable growth and strong confidence, to the successive implementation of a package of financial support policies to stabilize capital, leverage and expectations since this year, the power of stability has been gathering. The "national team" represented by Central Huijin has frequently increased its holdings, insurance and bank wealth management incremental funds have entered the market, and listed companies have made large increases in holdings and repurchases... Chinese assets have undergone a revaluation. The excellent quality and efficiency of listed companies have solidified the foundation of market value. Against the backdrop of accelerating the development of new quality productivity and realizing new industrialization, traditional enterprises are accelerating their transformation, emerging enterprises are thriving, and the quality of listed companies is steadily improving, especially with the "technology narrative" leading the development trend. Currently, about 66% of A-share listed companies that have disclosed their semi annual reports for 2025 have achieved a year-on-year increase in net profit attributable to shareholders. The net profit of industries such as software applications, semiconductors, and consumer electronics has increased by over 50%. High proportion dividends and huge dividends are frequent, and listed companies actively practice improving quality and efficiency to return to reporting. This is not only a result of stabilizing the market, but also creates opportunities for investors to better share the dividends of economic development. After 10 years, the balance of the two financing companies has once again exceeded 2.1 trillion yuan, releasing multiple positive signals. It should also be noted that the balance of the two funds cannot determine the market direction alone. Investors need to combine macroeconomic, policy environment, and industry trends, based on a full understanding of the real value of listed companies, make rational and long-term investments, and work together to build a new situation of high-quality development in the capital market. (New Society)