Chinese Investors Snap Up Copper, Gold Stocks to Drive 10% Gains
- Materials gauge was the best CSI 300 sub-index in past month
- Rally is already looking like a bubble, Chanson’s Shen says
A worker pours molten gold into a mold during the casting of gold ingots.
Photographer: Andrey Rudakov/BloombergThis article is for subscribers only.
Chinese investors are snapping up stocks tied to high-flying metals from copper to gold, aiding an onshore market facing an uphill battle to cement a nascent rebound.
A gauge tracking resources firms listed in Shanghai and Shenzhen has gained 10% in the past month, becoming the best sub-index of the CSI 300 benchmark. Zijin Mining Group Co., a major gold and copper producer, and Shandong Gold Mining Co. have led the rally and both gained over 20% in this period.