Caitong Securities Co Ltd

On September 9, spot gold stabilized above $4,350 per ounce and looked set to end a three-day losing streak. Over the past two weeks, gold prices have pulled back more than 4%, mainly pressured by rising U.S. Treasury yields, hawkish remarks from Federal Reserve Chair Warsh, and stronger-than-expected U.S. nonfarm payrolls. Markets expect the Federal Reserve to raise rates by a total of 50 basis points this year. However, robust gold buying by central banks is providing support for prices. The People's Bank of China bought 650,000 ounces of gold, about 20 tonnes, in August, up from 640,000 ounces in July, marking the largest monthly increase since October 2023 and extending its buying streak to 22 months. A World Gold Council survey shows nearly 90% of surveyed central banks expect global official gold reserves to continue growing over the next 12 months, with 45% planning to increase their own gold holdings. Caitong Securities noted that gold demand is structurally diverging, with ETF outflows weighing on short-term sentiment, while bar and coin demand of 784 tonnes in the first half remained one of the strongest on record. The Bosera Gold ETF, code 159937, saw latest net inflows exceed 77 million yuan, with a cumulative gain of 15.27% over the past year.

Caitong Securities released its 2026 interim report, with total operating revenue of 4.347 billion yuan, up 46.90% year-on-year, and net profit attributable to the parent of 1.9 billion yuan, up 75.38% year-on-year, marking a second consecutive year of growth. The company's asset-liability ratio was 80.13%, ROE was 4.81%, and diluted earnings per share was 0.41 yuan, up 78.26% year-on-year. The number of shareholders was 105,400, and the top ten shareholders held 45.51% of the total share capital.

The US core PCE price index rose 0.2% month-on-month in July and 3.3% year-on-year, both in line with expectations. Real personal consumption spending was flat month-on-month, showing an economic cooling that supports a pause in Federal Reserve rate hikes, though inflationary pressure has not fully faded. Driven by falling Treasury yields, a weaker dollar and fiscal concerns, gold prices topped 5,000 US dollars an ounce intraday on August 26, hitting a record high. Industrial Securities believes gold could break above 5,000 US dollars this year, while Caitong Securities is bullish on central bank gold buying and lower real rates supporting prices. Bosera Gold ETF has seen net inflows for four consecutive days, attracting a combined 164 million yuan, with average daily net inflows of 40.92 million yuan.

A total of seven stocks received buy ratings from institutions today, among which Caitong Securities and GalaxyCore were covered for the first time. According to statistics from Securities Times Data Treasure, institutional research reports issued a total of seven buy rating records today, covering seven stocks. Dongfang Shenghong and Luzhou Laojiao each received one buy rating. In terms of rating changes, two rating records were first-time coverage, involving Caitong Securities and GalaxyCore. In market performance, stocks with buy ratings rose by an average of 0.12 percent today, outperforming the Shanghai Composite Index. Five of them advanced, with Dongfang Shenghong hitting the daily limit up. Guotai Junan Haitong, Yutong Bus, and Luzhou Laojiao led the gains, rising by 2.22 percent, 1.52 percent, and 1.33 percent respectively, while MEMSensing and GalaxyCore saw larger declines, falling by 7.74 percent and 7.21 percent respectively.