Hong Kong's benchmark Hang Seng Index opened 0.96% lower at 25,667.14 points on Tuesday, as a broad sell-off in technology shares weighed on the market. The Hang Seng Tech Index fell 0.99% to 4,884.08 points, while the Hang Seng China Enterprises Index dropped 0.56% to 8,555.63 points. Pre-market turnover reached 31.04 billion Hong Kong dollars.
Defying the broader market weakness, gold stocks surged sharply higher, driven by a powerful rally in bullion prices. CHIFENG GOLD (06693) jumped over 9%, while LINGBAO GOLD (03330) and SD GOLD (01787) both advanced more than 7%. ZHAOJIN MINING (01818) gained nearly 7%, and LAOPU GOLD (06181) rose over 6%. ZIJIN MINING (02899) opened 5% higher, while CHINAGOLDINTL (02099) climbed nearly 4%. The rally follows a dramatic surge in overnight COMEX gold futures, which closed 3.74% higher at $4,308 per ounce, while spot gold jumped 4.16%. The positive momentum was fueled by progress in US-Iran negotiations over navigation rights in the Strait of Hormuz, combined with record-breaking central bank gold purchases during the second quarter.
AI-related stocks showed mixed performance, with MINIMAX-W (00100) opening more than 5% higher. In the new energy space, CATL (03750) started the session up over 4%. On the downside, the semiconductor sector struggled, as SMIC (00981) fell more than 2% and GIGADEVICE (03986) opened over 5% lower. Most internet and tech stocks also declined. The pressure on Hong Kong's technology sector reflects the mixed performance of US markets overnight, where the Dow Jones Industrial Average hit a fresh record high with a 0.49% gain, but the Nasdaq Composite dropped 0.83% and the Philadelphia Semiconductor Index gave back gains after an initial rally. The Nasdaq China Golden Dragon Index fell 1.09%, contributing to the cautious tone for Hong Kong tech shares at the open.
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