HK Stock Market Move | Gold stocks rise again, timing of the Fed rate cut approaches, and gold prices hit a new all-time high.

Gold stocks are rising again. As of the time of writing, CHINAGOLDINTL (02099) rose by 3.37% to 32.2 Hong Kong dollars; Zijin Mining Group (02899) rose by 1.9% to 15.02 Hong Kong dollars; ZHAOJIN MINING (01818) rose by 1.08% to 13.1 Hong Kong dollars; and Shandong Gold Mining (01787) rose by 1.01% to 16 Hong Kong dollars. On the news front, on September 16th, the international gold price hit a new historical high again, with COMEX gold briefly reaching 2617.4 US dollars and spot gold reaching as high as 2589.68 US dollars. The market is focusing on the interest rate decision that the Federal Reserve will announce in the early hours of September 19th Beijing time. According to the CME Group's FedWatch tool, the market currently predicts a 59% chance of a 50 basis point rate cut by the Federal Reserve, higher than the 43% chance last Friday. Sinolink stated that as the rate cut approaches, gold prices are expected to continue their rapid upward trend, with the central operating range for gold prices for 25 years expected to climb to 2600-2700 US dollars per ounce. The bank pointed out that the official start of the Federal Reserve rate cut indicates a significant increase in volatility for domestic gold stocks, making it harder to achieve relative and absolute returns. Gold companies with refining processes are more likely to release their performance in Q4 this year, with performance forecasts for the end of January 2025. Stock prices have the basis to recover along with gold prices.