Gold Stocks and Spot Gold Surge on Hong Kong Market

The Hong Kong stock market saw gold stocks fluctuating upward on September 9. China Gold International Resources (02099) rose 3.76% to HK$276, while Zijin Mining Group (02259) increased by 3.5% to HK$165.6. The uptick in gold prices was also reflected in other stocks, with Zijin Mining (02899) rising 2.16% to HK$37.76 and Lingbao Gold (03330) increasing 1.86% to HK$24.04.

Spot gold continued its surge, reclaiming the USD $4,400 level intraday with a gain of over 1%. This ended a three-day losing streak for the precious metal. The People's Bank of China increased its gold holdings by 650,000 ounces (approximately 20.2 metric tons) in August, despite gold prices rising nearly 10% during the same period.

CITIC Futures noted that the central bank's increased holdings and ETF inflows have expanded sources of gold buying, enhancing demand resilience. However, Shenwan Futures pointed out that tense geopolitical situations in the Middle East and renewed surges in international oil prices have exerted downward pressure on precious metals prices.