Gold shrugs off the Fed: four ASX companies on navigating the cycle

JMM

Gold has shrugged off a wave of global rate hikes.

The US Federal Reserve lifted rates for the first time in three years on 16 September, with the Federal Open Market Committee voting 12-0 to raise its target range by 25 basis points to 3.75 to 4 per cent. Spot gold slid to a weekly low near US$4261.80 an ounce after the announcement. It then rallied as crud, the US dollar and Treasure yields eased, touching US$4,400.60 on Friday and snapping a three-week losing streak.

The Fed was not alone. The European Central Bank raised all three key rates by 25 basis points a week earlier, taking its deposit rate to 2.5 per cent. The Bank of Japan followed on Friday, lifting its policy rate to 1.25 per cent, the highest since 1995. The Bank of England held.

China remains the market's anchor. Chinese gold imports topped 1,100 tonnes in the first eight months, already exceeding the whole of 2025 and the fastest pace since at least 2017. Analysts cite strong investment demand pushing mainland prices above the global benchmark, helped by a firm yuan. The People's Bank of China added 20.2 tonnes in August, its biggest monthly purchase since October 2023. This extended its buying streak to 22 months and lifted official holdings to about 2,387 tonnes.

Other central banks are also buying. Official-sector purchases rebounded to 289 tonnes in the June quarter, the highest second-quarter figure on record, after the first quarter was revised down to 57 tonnes. Poland led the buying, while Russia and Turkey were net sellers.

For Australian investors, the picture is more complicated. A strong Australian dollar is muting the local gold price, and the Reserve Bank is widely expected to lift rates on 29 September. So how are companies at each stage, from exploration through development to production, navigating the sector, and where does the opportunity lie?

The Jane Morgan Management Gold Forum will give participants the chance to hear from four companies across the exploration, development and production stages: Moonlight Resources (ASX:ML8) [explorer], Resolution Minerals (ASX:RML) [explorer and developer], Challenger Gold (ASX:CEL) [explorer and developer] and New Murchison Gold (ASX:NMG) [producer]. Sean Russo, gold industry leader and joint Managing Director of Noah's Rule, will deliver the keynote.

From drill bit to gold bar, JMM Gold Forum takes investors across the sector.

Wednesday 30th September, 10:30am - 12:00pm, free virtual webinar, registration link https://lnkd.in/gU7FNuAZ

Jane Morgan Management | Investor and Media Relations | [email protected]