Movement Alert|Zhaojin Mining Falls 3.1% in Regular Trading, Fed Hawkish Signals and Gold ETF Outflows Weigh on Sector

Market Focus14:00

On June 5, Zhaojin Mining fell 3.1% in regular trading, trading at HKD 20.04/share, with trading volume of HKD 160 million.

On the news front, Fed Chair Warsh continued releasing hawkish signals, with markets pricing approximately 50% probability of a 25-basis-point rate hike by year-end. The US dollar index and Treasury yields rose in tandem, pushing spot gold prices down to around USD 4,440/oz. Elevated rate expectations raised the opportunity cost of holding non-yielding gold, while dollar strength further eroded bullion appeal.

Meanwhile, global gold ETF holdings have been declining from highs, and CFTC non-commercial net long positions fell to a near two-year low, indicating leveraged traders are de-risking and taking profits. Additionally, a recent mine accident at the company added extra pressure on the stock.

Within the Gold sector, ZIJIN MINING fell 0.9%, ZIJIN GOLD INTL fell 2.59%, SD GOLD fell 3.12%, CHINAGOLDINTL fell 2.39%, and LINGBAO GOLD fell 2.05%, reflecting broad sector weakness.

(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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