On May 26, the gold sector performed actively. By the market close, the sector rose 1.56% overall, while the Shanghai Composite Index fell 0.17% on the same day. Among the 81 individual stocks within the sector, 58 advanced, accounting for 71.60%. Stocks such as Baoding Technology, Zhaojin Gold, Wolong New Energy, and Guocheng Mining led the gains. Table: Top Gainers Among Gold Concept Stocks on May 26. Data source: Tonghuashun. Table by: Ren Shibi.
In this regard, Chen Li, a director of the China Chief Economists Forum, stated, "The current active performance of the gold sector is primarily due to the weakening expectations for Federal Reserve interest rate hikes, a weaker US dollar, combined with continued gold purchases by global central banks and persistent geopolitical safe-haven demand. Looking ahead, gold possesses both safe-haven and anti-inflation attributes. In the medium to long term, it is supported by the trend of de-dollarization. The sector has a solid fundamental foundation and presents structural opportunities."
It can be observed that although the international gold price began to retreat after peaking and falling back from the end of January, it remains at a high level above $4500 per ounce overall. The performance of listed companies in the gold sector is impressive. Data from Tonghuashun shows that among the 81 listed companies in the gold sector, 55 achieved year-on-year growth in net profit attributable to shareholders of the parent company in 2025, accounting for 67.90%. Furthermore, among these companies, 68 achieved year-on-year growth in net profit attributable to shareholders of the parent company in the first quarter of 2026, accounting for 83.95%.
Regarding the trend of gold prices, Zhang Pengyuan, a wealth researcher at Paipaiwang, noted that the medium to long-term upward logic for gold remains solid: continued gold purchases by global central banks, the advancement of de-dollarization trends, and geopolitical risks provide a solid structural foundation for gold prices. Against this backdrop, leading enterprises with superior resource endowments and strong cost control capabilities are expected to continue benefiting from the high gold price environment, leading to improved performance.
China Post Securities indicated that after a phase of adjustment, gold prices are expected to continue their upward trend. Although the London gold price experienced a short-term decline after reaching a new high in the first quarter, the Shanghai gold price has maintained its high level. The Chinese central bank continued to increase its gold holdings during the price adjustment period, reflecting its long-term allocation value.
Regarding investment opportunities, Jia Xiaolong, Director of the Heiqi Capital Research Institute, expressed, "Looking ahead to the second half of 2026, we hold a positive yet cautious and optimistic view on investment opportunities in the gold sector. At the macro level, global 'de-dollarization' has moved from rhetoric to substantive implementation, with the US dollar's share of reserves falling below 60%. The underlying logic of gold as a credit hedge tool is becoming increasingly clear. At the policy and industry level, although the Federal Reserve's interest rate cut cycle has been bumpy, as the benchmark interest rate gradually approaches a neutral level, the decline in real interest rates will provide long-term support for gold prices. Simultaneously, the limited increase in global mine gold supply and the slowdown in recycled gold growth make it difficult to change the tight supply-demand situation. In terms of market and micro-level performance, the transmission of high gold prices to corporate profits continues, and companies with clear resource endowments and prominent cost advantages have room for recovery."
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