HK Stock Market Move | Colored stocks generally opened higher, and US employment market data raised expectations of interest rate cuts. Institutions say colored metals may usher in a supercycle.

Colored stocks generally opened higher. As of the time of writing, Zijin Mining Group (02899) rose by 3.51% to HK$34.24; CHINAHONGQIAO (01378) rose by 3.32% to HK$32.4; LINGBAO GOLD (03330) rose by 3.23% to HK$18.56; CMOC Group Limited (03993) rose by 2.8% to HK$18.36; JIANGXI COPPER (00358) rose by 2.57% to HK$34.28. On the news front, deterioration in the U.S. job market data has raised expectations of a rate cut by the Federal Reserve. According to data released by the U.S. Department of Labor on Thursday, initial jobless claims increased by 44,000 to 236,000 in the week ending December 6, the largest increase since March 2020, after hitting a three-year low the previous week. The mainstream expectation in the market still points to further rate cuts early next year, with JPMorgan, Morgan Stanley, and Citigroup all predicting another rate cut in January. Sinolink pointed out that by 2025, major economies around the world will begin to undergo substantive adjustments and collisions in their domestic and foreign policies. The normalization of conflicts such as Russia-Ukraine/Middle East and the deepening of great power rivalry have increased the risk of global supply chain disruption - prioritizing "security" over "cost," leading to continued weak global economic growth trends. While Europe and the U.S. have entered a rate-cutting cycle, it is mainly to address economic slowdown rather than stimulate prosperity. In this context, the metals sector may usher in a super cycle.