Trump's tariffs drive up gold prices to an all-time high as investors look for secure investments.

Worries among investors about a possible worldwide trade conflict have led to a significant rise in gold prices.

On Monday, the value of gold skyrocketed to an all-time high as investors turned to reliable assets in the face of unpredictability triggered by the tariff strategies of US President Donald Trump and persistent worries about inflation.

On Monday, the cost of global spot gold increased by 0.57 percent, reaching US$2,813.34 per ounce, following an earlier all-time high of US$2,830.49 during the same trading period.

The positive trajectory persisted into Tuesday, with the price of gold reaching US$2,819.46 per ounce by the morning.

The cost of gold products in China has been on an upward trend since the start of the year. Prominent jewelry brands like Chow Tai Fook and Chow Sang Sang announced on Tuesday that their prices have exceeded 850 yuan per gram, which is equivalent to US$3,325 per ounce.

"Citic Securities analysts stated in a research note on Monday that the escalating trade conflicts have dramatically increased the avoidance of market risk, pushing gold prices to record levels. They suggested that any further amplification of trade frictions will continue to stimulate the rise in gold prices."

Global central banks, such as those in China, Russia, India, and the United Arab Emirates, have been boosting their gold reserves lately. However, the surge in demand for secure assets took off when Trump declared on Saturday that the US would put tariffs on goods imported from Canada, Mexico, and China.

Guming, the major Chinese bubble-tea company, aims to raise US$200 million in Hong Kong's Initial Public Offering (IPO). The firm, trading under the "Good me" brand, plans to offer 158.6 million shares with each priced between HK$8.68 and HK$9.94.

Guming Holdings, a Chinese company specializing in bubble tea beverages, plans to generate as much as HK$1.58 billion (equivalent to US$202 million) through an initial public offering (IPO) in Hong Kong. This marks the first IPO of the Year of the Snake.

Guming revealed in a regulatory filing on Tuesday that it plans to sell 158.6 million shares between HK$8.68 and HK$9.94 each. The final cost per share will be set by Friday, and the shares will become publicly traded on February 12.

The business, trading as Good me, ranked as the biggest mid-range fresh drink vendor in China in terms of gross merchandise value (GMV) and number of outlets in 2023. In the initial three quarters of 2024, there was a 20% yearly increase in GMV, reaching 16.6 billion yuan (US$2.3 billion). Concurrently, the expansion of its outlet chain saw an 8.6% growth, totalling 9,778 stores.

According to its report, Guming saw a year-on-year profit increase of 11.8% in the first three quarters of the previous year, reaching 1.1 billion yuan. This figure exceeded the total profit for 2023.

The Initial Public Offering has drawn the interest of five key investors who have collectively poured in US$71 million. Huang River Investment, fully owned by Tencent Holdings, has contributed US$25 million to this total.

Henderson Land is set to roll out 12 new projects, consisting of 5,400 units, this year, due to a positive market outlook. The real estate company asserts that there is a considerable demand for housing and that decreased rates will result in smaller mortgage payments.

The second stage of Belgravia Place located in Cheung Sha Wan, which contains 248 apartments, is anticipated to be introduced this month, according to Thomas Lam Tat-man, the head of the sales division.

Mark Hahn Ka-fai, a general sales manager, has announced plans to unveil a 300-unit project on Nam Kok Road in Kowloon City within the first three months of the year. Furthermore, a massive 2,060-unit development is also set to be launched at 18 Shing Fung Road in Kai Tak.

Upcoming projects include two phases consisting of 881 apartments at 72 To Kwa Wan Road, another 240 apartments in phase C1 at MidTown South in Hung Hom, as well as a high-end development at 29A Lugard Road on The Peak.

Lam stated that there was a significant need for housing and decreasing rates would result in lesser mortgage payments, enabling a greater number of investors to participate in the market.

He anticipates that the initial six months of the year will kickstart the real estate market, with a probable upswing in property values beginning in the latter half of the year. He also projects that primary real estate transactions could total around 20,000 units this year.

Analysts claim that the 'de minimis' exemption removal by the US, a tax break for small packages, won't bring about the downfall of Chinese border-crossing e-commerce companies, but it will negatively impact American consumers.

Analysts have stated that US President Donald Trump's decision to remove a tariff exemption, which was advantageous to China's international e-commerce magnates, will impact American consumers, particularly those with lower incomes, more severely than the companies themselves.

The "de minimis" provision, which enabled packages valued below $800 to be shipped into the United States without a duty charge, was eliminated. This was part of an executive order signed by Trump on February 1, which increased tariffs on Chinese products by 10%.

The tax discrepancy significantly contributed to the expansion of China's international online trade sector. This was because merchants who shipped smaller parcels straight to American buyers could bypass U.S. import taxes and customs inspections.

In the last ten years, there has been a massive increase of over 600% in the quantity of shipments entering the US that fall under the de minimis exemption. US Customs and Border Protection states that the numbers have soared from approximately 139 million in the fiscal year of 2015 to over 1 billion by the fiscal year of 2023.

From 2018 to 2021, it's estimated that the US accepted around $228.3 billion in de minimis deliveries from China. This includes $79.3 billion from Hong Kong, which constitutes over two-thirds of the total de minimis imports to the US, according to a report released last week by the Congressional Research Service.

Eliminating the exception indicates that merchandise from Shein, Temu, and other Chinese international e-commerce companies will now be liable for US tariffs on Chinese imports. These tariffs were already exceeding 20 per cent in certain sectors and are predicted to increase by an additional 10 per cent due to Trump's most recent executive directive.

Xiaomi's market worth surpasses HK$1 trillion as optimism grows over its EV industry

The smartphone producer enjoys the rewards of branching out into EV production as the queue of orders increases.

For the first time, Xiaomi's market worth surpassed HK$1 trillion (US$128.4 billion) following a record high spike in its stocks. This success is due to the company, being China's third-largest smartphone producer, reaping rewards from its expansion into the production of electric vehicles (EV).

The firm's stock value increased to a peak of 5.7 per cent, reaching HK$40.10 in Hong Kong on Tuesday, pushing its fundamental market value past a trillion dollars. However, by the end of trading, the shares settled at HK$39.55, reducing its worth to HK$992.9 billion. The Hang Seng Index also saw a notable rise of 2.8 per cent, fueled by optimism that a trade conflict might be prevented.

According to a recent filing on January 13, Xiaomi has listed 20.59 billion Class B shares on the local stock exchange. Additionally, the company's founder, Lei Jun, holds control over 4.52 billion unlisted Class A shares. Each of these shares carries 10 votes and has the potential to be converted into Class B shares on a one-to-one ratio.

"The share value mirrors its robust underlying elements," Kenny Ng, a strategist at Everbright Securities International, stated. He added that considering the upward trajectory and enhanced investment mood, the stock was predicted to do well in the near future.

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China retaliates against US duties, promising to bring the matter to the WTO.

The demonstration occurred in light of a positive outlook on its automobile industry, unaffected by the intensifying trade conflict between the US and China, as the two largest global economies gear up for another trade battle with export tariffs. The firm primarily earns its income domestically, with a mere 3 per cent originating from the US, as per Morningstar's data.

Bitcoin's value drops under $100,000 due to market instability caused by Trump's tariffs

The American President enforced a 25 per cent tariff on most imports from Mexico and Canada, as well as a 10 per cent tariff on Chinese products, taking effect from Tuesday.

The value of cryptocurrencies plummeted as the looming threat of a worldwide trade conflict unsettled investors, prompting them to move away from high-risk assets.

Digital currencies are traded continuously, even on weekends, and have recently shown sensitivity to the overall mood in the markets.

Investors believe that tariffs have the potential to negatively impact economic growth and corporate profits

"Crypto is essentially the sole method to convey risk during the weekends, and with news such as this, crypto becomes a risk indicator," stated Chris Weston, lead researcher at financial brokerage firm Pepperstone.

The use of Yuan for trade financing in Hong Kong is increasing as companies look for cost savings in the midst of US-China disputes. The lower financing costs of the Chinese currency and increasing offshore liquidity, along with a new platform, are enhancing its attractiveness.

The utilization of the yuan in trade finance is on the rise as businesses aim for cost savings and diversification of their supply chain in light of the ongoing US-China conflicts and enhancements in the currency's offshore fluidity, say leading financiers in Hong Kong.

"Since 2023, there has been an increased demand from businesses for trade financing in yuan, in the wake of US dollar rate increases," commented Wu Bin, who leads trade and working capital sales for Citi in Japan, North Asia, and Australia.

The pattern persisted into the previous year when China reduced its interest rates even more, he stated. He pointed out that there's a growing preference among internationally operating mainland firms to utilize the yuan for trade finance. This is primarily to manage the instability of foreign currencies and to optimize costs.

It is anticipated that the yuan will continue to have lower financing costs, as the disparity with the US remains significant due to the Federal Reserve's slower than anticipated reductions in interest rates.

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US President Donald Trump mellows down on potential China tariffs

Standard Chartered's Carmen Chan, who is in charge of trade and working capital for Greater China and North Asia, stated that there's a growing trend of using the yuan in trade finance. This trend is especially notable in industries like electric vehicles, solar panels, and engineering, procurement, and construction.

Could SHKP's 9,700-unit Sai Sha development rival Taikoo Shing or Lohas Park?

The leading property developer in Hong Kong is expected to release the first group of 781 apartments in the Sai Sha development within this financial quarter.

The leading property developer in Hong Kong is expected to release the first group of 781 apartments in the Sai Sha development within this financial quarter.

Sun Hung Kai Properties (SHKP), the largest real estate developer in Hong Kong, is ready to unveil apartments in a massive housing project in East New Territories. However, an industry expert suggests that inadequate transportation links may hinder the project's potential to rival prominent developments like Taikoo Shing or Lohas Park.

The property development in Sai Sha, located in Shap Sze Heung between Ma On Shan and Sai Kung, is set to offer a combined floor area of roughly 5 million square feet. This will be divided into approximately 4.7 million square feet for residential purposes and the remaining 288,000 square feet allocated for non-residential use.

"The Sai Sha scheme is among the most substantial combined developments by SHKP in the recent past, a concept that has taken several decades to come to fruition," stated the developer.

It is probable that SHKP will introduce the initial set of 781 apartments in the Sai Sha project within this quarter.

As of the end of December, the project was still awaiting the green light for presale approval from the Lands Department, says Xavier Lee, a stock market analyst at Morningstar. He further suggested that SHKP is expected to secure the presale consent shortly.

Snake Year: uncommon transactions and forced sales expected to dominate Hong Kong's real estate market

Veteran investors likely to hold back as educational and religious institutions look to acquire properties, according to market experts.

According to data gathered by Midland Realty, there was over an 11% decrease in the city's commercial property dealings in 2024, dropping to 3,461 from 3,906 in 2023.

According to Savills, the worth of business agreements plummeted 46 per cent annually, landing at HK$20.1 billion (US$2.6 billion). This data accounts for non-residential purchases where the buyer gained a minimum of 30 per cent stake in the property.

The property consultancy stated that only those buyers with significant cash reserves were successful in making transactions last year.

In 2024, non-profit bodies like educational institutions and religious groups saw a significant increase in their share of commercial deals worth HK$50 million and above in Hong Kong, rising to 14.2% from 2.8% in 2023, as per data from JLL.

Hong Kong shares fall due to Trump's tariffs while investors anticipate China's reaction. According to Goldman Sachs, these tariffs may hinder China's economic progression and compel the central bank to refrain from relaxing monetary policies.

On Monday, the Hang Seng Index experienced a slight decrease of 0.04 per cent, finishing at 20,217.26, following a significant 2.3 per cent drop as the market resumed after a three-day pause. On the other hand, the Hang Seng Tech Index saw a minor increase of 0.3 per cent.

Trading on domestic stock markets was halted for the Lunar New Year celebration and will recommence on Wednesday. The key CSI 300 index saw a decline of 3 per cent in January.

Baidu, the tech behemoth, experienced a 3.8% decrease, bringing its shares to HK$84.45. Meanwhile, electric car manufacturer Li Auto saw a 5.7% drop in its shares, reducing its value to HK$86.65. Sands China, a casino business, also experienced a loss, with a 7% decrease in share value to HK$17.30. Similarly, fellow casino enterprise Galaxy Entertainment saw a 5.9% decline, with shares dropping to HK$

Capping off its losses, the chip manufacturer known as Semiconductor Manufacturing International (SMIC) saw a rise of 10.3 per cent, reaching HK$41.90, while the e-commerce behemoth, Alibaba Group Holding, saw an increase of 6.5 per cent, taking it to HK$94. Alibaba is the owner of the Post.

The expansion of China's industrial production decelerates once more in the face of looming Trump tariffs. An essential measure of China's manufacturing operations surprisingly dropped in January, emphasizing the financial difficulties confronting Beijing.

Contrary to expectations, China's manufacturing sector experienced a downturn for the second consecutive month in January. This highlights the necessity for the Chinese government to increase economic incentives, especially as US President Donald Trump imposes trade taxes on the nation's exports.

The manufacturing purchasing managers' index (PMI) from Caixin dropped to 50.1, marking a four-month low, down from 50.5 in December, as per a report published by Caixin and S&P Global on Monday.

Although a reading over 50 signifies an increase in activity, this number was significantly lower than the predicted median of 50.6 by economists polled by Bloomberg.

"The significant difficulties originated from a considerable decrease in jobs, slow foreign demand, and low pricing," stated Wang Zhe, a leading economist at Caixin Insight Group, with the announcement's release.

"Potential instability in global policies may negatively impact China's export landscape, creating substantial hurdles for its economy."

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Trump plans to impose 25% tariffs on Mexico and Canada starting February 1.

'Golden Pathway': Head of Hong Kong's gold exchange envisions city as central point for belt-and-road initiative

The chairman of HKGX anticipates an increase in gold prices and trading volume during the Year of the Snake

The chairman of HKGX predicts a surge in gold prices and trading activity during the Year of the Snake

The leader of Hong Kong's gold exchange predicts an increase in gold prices and trading activity in the upcoming lunar year due to geopolitical tensions and anticipated cuts in interest rates. The exchange is also planning to expand its role in Hong Kong's endeavor to transform into a commodities hub.

Haywood Cheung Tak-hay, the chairman of the Hong Kong Gold Exchange (HKGX), predicted on Monday that the price of gold could reach or surpass US$3,000 per ounce (28.3 grams) in the Year of the Snake. He also anticipated a worldwide increase in trading volume of up to 30 percent.

The cost of gold surged by 35% during the Year of the Dragon, reaching HK$25,600 per tael (equivalent to US$3,282 for 37.9 grams), while the global value for gold peaked at an unprecedented rate of US$2,790.07 per ounce in October.

Analysts predict that the value of gold will keep increasing. This is because investors are using the precious metal as a protective measure due to anticipated interest rate reductions and a pessimistic economic forecast.

Previously known as the Chinese Gold & Silver Exchange Society, HKGX transitioned from a club to a business entity towards the end of last year and commenced activities under its new title on the first day of January.