Hong Kong Stock Concept Tracking | Federal Reserve Independence Questioned + Rate Cut Expectations Gold and Silver Continue to Hit New Highs (Including Concept Stocks)
The spot silver price is approaching $40 per ounce, with market expectations for a breakthrough at this price level. The expectation of interest rate cuts by the Federal Reserve has also boosted gold prices, with JP Morgan predicting that gold prices will reach $3,675 by the end of the year and may hit $4,000 by early next year. Silver is supported by industrial demand and applications in solar panels, with related exchange-traded funds continuing to expand. The relevant industry chain in the Hong Kong stock market includes Zijin Mining, SD GOLD, and others
According to Zhitong Finance APP, the strong upward trend of spot silver has brought it close to $40 per ounce, a price level that may soon be breached.
The market is preparing for a series of significant events over the next 14 trading days, during which important U.S. data will be released, along with a Federal Open Market Committee meeting.
The strength of gold remains the main driving force, thanks to the market's increasingly firm belief that the Federal Reserve is about to restart interest rate cuts, coupled with risks to the Fed's independence.
U.S. President Trump is attempting to remove Federal Reserve Governor Lisa Cook—an action that faces legal challenges. Wall Street giant JP Morgan stated that the Fed's independence continues to be threatened, and the deterioration of U.S. non-farm payroll data will be the strongest bullish catalyst for gold prices. In an optimistic scenario, JP Morgan expects gold prices to move towards the year-end target price of $3,675 per ounce, with expectations of reaching $4,000 per ounce as early as next year.
Silver is also supported by industrial demand due to its application in solar panels. Investors have taken note of this situation and have flocked to silver-backed exchange-traded funds. In August, these funds expanded for the seventh consecutive month, marking the longest continuous inflow since 2020.
Saxo Bank summarized that gold remains a key hedging tool against short-term global policy volatility and the slowly brewing market doubts about the Fed's credibility; silver inherits this property while also benefiting from additional support provided by the tight silver supply-demand fundamentals—mainly due to the growth in solar panel demand.
Gold-related stocks in Hong Kong:
Zijin Mining (02899), SD-GOLD (01787), Zhaojin Mining (01818), Chifeng Jilong Gold Mining (06693), Lingbao Gold (03330), China Gold International (02099), WanGuo Gold Group (03939), Laopu Gold (06181), Tongguan Gold (00340), JiHai Resources (02489), etc.
Silver industry chain related stocks in Hong Kong:
China Silver Group (00815): China Silver Group (00815) announced its interim results for the six months ending June 30, 2025, with revenue of RMB 2.33 billion (same unit), an increase of 0.5% year-on-year; profit attributable to owners was RMB 54.911 million, an increase of 167.13% year-on-year; earnings per share were RMB 0.02
