Understanding the Market | Gold stocks continue their recent decline, with SD GOLD falling nearly 4%. The market is focused on the results of this week's Federal Reserve meeting
Gold stocks continue their recent downward trend. As of the time of writing, SD-GOLD is down 3.81%, trading at HKD 12.62; LINGBAO GOLD is down 1.1%, trading at HKD 2.69; CHINAGOLDINTL is down 1.06%, trading at HKD 37.2; ZIJIN MINING is down 0.96%, trading at HKD 14.4. On the news front, the Federal Reserve is set to hold its last interest rate meeting of the year on December 17-18. CITIC Futures pointed out that the Trump trade has weakened recently, but still emphasizes that before Trump's inauguration, the cabinet members' highly MAGA characteristics mean that the direction of the Trump trade will not reverse, which exerts pressure on the trend of precious metals. In addition, the U.S. CPI and PCE data for November have moderately rebounded, in line with expectations, but last week's PPI data rebounded beyond expectations. Recently, Federal Reserve officials have adopted a more conservative tone, and the result of the December interest rate meeting may present as a "hawkish rate cut." In the short term, precious metal prices are still expected to experience volatility, with close attention to the results of the Federal Reserve's interest rate meeting this Thursday, and vigilance against potential hawkish guidance that could negatively impact precious metals
According to Zhitong Finance APP, gold stocks continue their recent downward trend. As of the time of publication, Shandong Gold (01787) is down 3.81%, trading at HKD 12.62; Lingbao Gold (03330) is down 1.1%, trading at HKD 2.69; China Gold International (02099) is down 1.06%, trading at HKD 37.2; Zijin Mining (02899) is down 0.96%, trading at HKD 14.4.
On the news front, the Federal Reserve is set to hold its last interest rate meeting of the year on December 17-18. CITIC Futures pointed out that the Trump trade has weakened recently, but still emphasizes that under the highly MAGA-ized characteristics of cabinet members before Trump's inauguration, the direction of the Trump trade will not reverse, which exerts pressure on the trend of precious metals. In addition, the U.S. CPI and PCE data for November have moderately rebounded, in line with expectations, but last week's PPI data rebounded beyond expectations. Recently, Federal Reserve officials have adopted a more conservative tone, and the results of the December interest rate meeting may present as a "hawkish rate cut." In the short term, precious metal prices are still expected to experience volatility, with close attention to the results of the Federal Reserve's interest rate meeting this Thursday, and vigilance against potential hawkish guidance that could negatively impact precious metals