Hong Kong gold miners surge as spot gold reclaims $2,400

Hong Kong gold miners surged Thursday, with Zijin Gold International (紫金黃金國際, 02259.HK) jumping 11.33%, as spot gold reclaimed the $2,400 level on easing U.S. inflation expectations.

"Gold's advance is supported by continued central bank purchases and softer U.S. inflation data," said analysts at Huatai Securities, who see Hong Kong stocks in a bottoming phase and favor offensive sectors.

Lingbao Gold (靈寶黃金, 03330.HK) climbed 10.16%, China Gold International (中國黃金國際, 02099.HK) rose 9.21%, and Zhaojin Mining (招金礦業, 01818.HK) advanced 8.82%. The rally extended a broader rebound that lifted the Hang Seng Index 1.34% to 25,453.23 on Monday, with Zijin Mining and Laopu Gold each gaining more than 5%.

The coordinated surge across major Hong Kong-listed gold miners points to strong safe-haven demand, with central banks worldwide continuing to accumulate bullion. Traders will watch U.S. inflation data and Federal Reserve policy signals for the next leg in gold prices.

Gold Miners Lead HK Rebound

The gold sector outperformed a market recovering from four straight sessions of declines. The Hang Seng Index reclaimed the 25,000-point threshold on Monday, closing at 25,453.23, up 336.38 points, with turnover reaching HK$210.77 billion (about $26.9 billion). The Hang Seng Tech Index rose 1.58% to 4,782.03.

Beyond gold, the broader advance was led by AI hardware and semiconductor names. SMIC (0981.HK) climbed 6.14% after second-quarter results beat expectations, while optical communications and PCB stocks posted the most aggressive gains, with YOFC surging 12.1% and Kingboard Laminates soaring 9.12%. Chinese internet stocks broadly advanced, with JD.com up more than 2% and Alibaba, Tencent, and Xiaomi each gaining at least 1%.

Safe-Haven Demand Drives Bullion

Spot gold's move back above $2,400 reflects easing U.S. inflation expectations and continued central bank gold purchases globally, according to market data. The precious metal's strength lifted the entire gold mining complex, with Zijin Gold International, Lingbao Gold, China Gold International, and Zhaojin Mining all posting gains of at least 8.8%.

The rally in gold miners contrasted with weakness in biopharmaceutical B-class shares, which declined collectively as funds rotated toward defensive assets. Shipping stocks also strengthened, with Orient Overseas, COSCO Shipping Holdings, and SITC International posting gains.

Analysts at CITIC Securities expressed optimism about the expansion of intelligent computing infrastructure during the 15th Five-Year Plan period, expecting related investments to support the market over the long term. Huatai Securities recommended focusing on the AI supply chain and wafer foundry sectors, where demand fundamentals remain intact.

The gold sector's strength, combined with the broader market's rebound, suggests improving risk appetite among Hong Kong investors. With spot gold holding above $2,400 and central banks continuing to buy, gold miners may retain their leadership position in the near term.

This article is for informational purposes only and does not constitute investment advice.