HK Stock Market Move | Gold stocks are rallying again. Directors suggest that the Fed take a more dovish stance. Institutions indicate that the value of gold allocation remains prominent.

Golden stocks strengthened again, as of the time of writing, Shandong Gold Mining (01787) rose by 5.25% to HK$38.06; ZHAOJIN MINING (02899) rose by 3.72% to HK$33.48; LINGBAO GOLD (03330) rose by 3.54% to HK$19.57; Chifeng Jilong Gold Mining (06693) rose by 2.95% to HK$32.78. On the news front, data from Hithink RoyalFlush Information NetworkiFinD showed that on December 22nd, COMEX gold broke through $4450 in intraday trading, continuing to refresh highs. It is worth noting that recently, Federal Reserve board member Milan warned that if the US central bank does not continue to lower interest rates next year, it may increase the risk of an economic recession. At the same time, Milan stated in an interview that recent employment data has shown that the unemployment rate "may be higher than the market's previous expectations," this type of signal is enough to push Federal Reserve policy to continue to adjust in an accommodative direction. Noah Fund believes that the expansion of fiscal policies in major countries, central bank stockpiling, demand for reconfiguration of US dollar assets, and interest rate cuts by European and American central banks will continue to be the long-term upward logic for gold. Xinyuan Fund stated that looking ahead, the foundation of the gold bull market remains unchanged, but short-term volatility may increase. If subsequent US core PCE continues to decline, it will solidify expectations of two 25 bp interest rate cuts in the first half of 2026, and the price of gold is expected to test the key level of $4400 again. In the medium to long term, as Trump is set to nominate a new Federal Reserve chairman, market expectations are generally dovish; combined with US fiscal deficits expanding, high debt levels, and uncertainty in inflation, real interest rates and the US dollar index are expected to enter a downward cycle, highlighting the continued value of gold allocation.