Precious Metals Sector Surges Over 6% Amid Easing Geopolitical Tensions
The precious metals sector has surged over 6%, driven by expectations that geopolitical tensions in the Middle East may be easing and oil prices have pulled back. This shift has led to a decrease in market concerns about inflation, which in turn has cooled expectations for a US Fed interest rate hike in September. As a result, gold, silver, platinum, and palladium futures have strengthened together.
In the futures market, COMEX gold was up 1.7% at $4,223.1/oz, while SHFE gold main contract rose by 3.1% to 910.4 yuan/g. COMEX silver was up 2.53% at $61.77/oz and SHFE silver main contract surged 7.08% to 15,105 yuan/kg.
In the stock market, the precious metals sector rose by 7.87%, with Sengda Resources and Sichuan Gold hitting their daily limit up. Other top gainers included Xiaocheng Technology, Chifeng Gold, Zhongjin Gold, Xingye Silver&Tin, and Shanjin International.