Gold stocks climb as yen intervention and Fed rate hold weaken dollar, boosting bullion prices

Stock News07-31 11:00

Gold stocks maintain upward momentum

Shares of gold-related companies continued their rise in morning trading. Lingbao Gold Co Ltd (03330) increased by 7.29% to HKD 19.58, Chifeng Jilong Gold Mining Co Ltd (06693) gained 7.36% to HKD 35.02, Shandong Gold Mining Co Ltd (01787) rose 4.99% to HKD 20.82, and Zhaojin Mining Industry Co Ltd (01818) advanced 4.46% to HKD 22.00.

The Japanese government is suspected of intervening in the foreign exchange market again, which weakened the US dollar and helped gold prices bounce back. Meanwhile, the Federal Reserve's decision to hold interest rates steady has triggered sharp divergence in the bond market: short-term yields plunged, signaling a recession warning, while long-term yields surged, exposing sovereign credit concerns. Analysts suggest that the global debt crisis remains unresolved, and the medium-to-long-term upward logic for gold and silver as ultimate safe-haven assets remains intact. Zhongtai Securities previously noted that gold mining stocks tend to show greater price swings compared to the underlying metal.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment