Movement Alert|Zijin Mining Falls 3.11% in Regular Trading, Gold Sector Retreats on Profit-Taking After US-Iran Rally

Market Focus05-27

On May 27, Zijin Mining declined 3.11% in regular trading, trading at 34.26 HKD/share, with trading volume of 924 million HKD. The gold sector broadly weakened as funds took profits following the previous session's sharp rally driven by US-Iran negotiations.

On the news front, spot gold had surged 1.4% on May 26 to 4,570 USD/oz after the US and Iran commenced substantive talks in Doha, Qatar, raising hopes of reopening the Strait of Hormuz. The resultant oil price plunge eased inflation concerns and weakened the US dollar, propelling gold higher. However, sector funds moved swiftly to lock in gains the following session, triggering broad-based selling across gold miners including Lingbao Gold (-5.14%), Chifeng Gold (-4.64%), and Zijin Gold International (-3.39%).

Notably, S&P Global Ratings affirmed Zijin Mining's BBB rating and raised the outlook to positive on the same day, citing expectations of rising output and controlled leverage. However, the market prioritized short-term profit realization over the positive credit signal, with capital choosing to retreat amid commodity price volatility.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)

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