HK Stock Market Move | Gold stocks have once again fallen as Chifeng Jilong Gold Mining (06693) dropped nearly 6%. The spot price of gold briefly fell below $5000.

Gold stocks fell again. As of the time of writing, Chifeng Jilong Gold Mining (06693) fell 5.76% to HK$37.98; ZIJIN GOLD INTL (02259) fell 5.26% to HK$178.2; Shandong Gold Mining (01787) fell 4.31% to HK$36.42; CHINAGOLDINTL (02099) fell 4.46% to HK$160.5. On the news front, on the morning of March 16, spot gold once again quickly fell below $5000, dropping to a low of $4966. JPMorgan pointed out that this round of gold selling was driven by multiple factors: the surge in energy prices raised inflation expectations, leading to a sharp decrease in market expectations for a rate cut by the Federal Reserve, combined with a rapid rebound of the US dollar, creating a recent direct negative background. However, the bank believes that the main driver is the widespread derisking triggered by stock market volatility. In the short term, JPMorgan warned that gold may still face further downward pressure. According to a report from a securities firm in China, there is a sudden major variable in the change of the Federal Reserve Chairman. Federal Reserve Chairman Powell sent a strong signal to the Trump administration through his lawyer: if the criminal investigation into his overspending case continues, he will remain as a board member until 2028 after his term as chairman expires in May this year. It is worth noting that this week the financial markets will welcome a "super central bank week". Currently, the market expects the Federal Reserve to keep interest rates unchanged, but the updated dot plot may show only one rate cut in 2026, which may be lower than market expectations.