HK Stock Market Move | Golden stocks continue to fall, with gold prices dropping below $4000 to reach a seven-month low. Wall Street collectively lowers its gold price expectations.

Golden stocks continued to decline. As of the time of writing, CHINAGOLDINTL (02099) fell by 3.89% to 113.6 Hong Kong dollars; Shandong Gold Mining (01787) fell by 3.18% to 17.06 Hong Kong dollars; ZIJIN GOLD INTL (02259) fell by 3.17% to 90 Hong Kong dollars; Chifeng Jilong Gold Mining (06693) fell by 2.74% to 22.76 Hong Kong dollars. On the news front, on Thursday, the US PCE price index rose by 4.1% year-on-year, the highest level since April 2023 and the first time in over three years to break through the 4.0% mark. The US dollar index rose to a 13-month high, and the market's expectations for a Fed rate hike increased to 67%, coupled with easing geopolitical risks from the US-Iran peace agreement and falling oil prices. Gold broke through the key psychological barrier of $4000 and hit its lowest level in over seven months. Wall Street investment banks collectively lowered their gold price expectations. Montreal Bank Capital Markets expects the average gold price for the second half of this year to be around $4625 per ounce, a 5% decrease from previous expectations. Prior to this, Deutsche Bank, Goldman Sachs, Citigroup, JP Morgan, Morgan Stanley, and ANZ Bank have also successively lowered their gold price targets. Goldman Sachs' year-end target price was lowered to $4900, and Deutsche Bank's extreme scenario was reduced to $3800.