Zhi Tong Cai Jing·2025-12-17 06:25Core Viewpoint - Gold stocks experienced an afternoon rally, driven by expectations of continued monetary easing from the Federal Reserve and a weakening U.S. dollar, which is anticipated to support gold prices in the long term [1] Group 1: Gold Stock Performance - Chifeng Jilong Gold Mining (06693) rose by 3.83%, trading at HKD 31.46 [1] - Shandong Gold Mining (01787) increased by 3.48%, trading at HKD 3.49 [1] - Lingbao Gold Company (03330) saw a rise of 2.9%, trading at HKD 18.08 [1] - Zijin Mining Group (02899) gained 2.73%, trading at HKD 33.94 [1] Group 2: Federal Reserve Monetary Policy - The Federal Reserve's December meeting resulted in a 25 basis point rate cut, but there was significant internal disagreement regarding future rate cuts, with three dissenting votes [1] - Fed Governor Milan advocated for a 50 basis point cut, while two regional Fed presidents opposed any rate cut [1] Group 3: Market Outlook and Predictions - Morgan Stanley's latest report predicts that rate cuts will continue, leading to a weaker U.S. dollar and potential support for gold prices [1] - Gold prices are projected to reach USD 4,800 per ounce by Q4 2026 [1] - Huaan Fund anticipates that the Fed will remain in a rate-cutting cycle, which could favor gold if a dovish chair is selected [1] - The combination of loose monetary and fiscal policies, along with ongoing global central bank purchases of gold to diversify foreign exchange reserves, enhances the long-term investment appeal of gold [1]