The Shanghai Composite fell 0.36% at the open on August 6, while precious metals shares outperformed after COMEX gold climbed 3.74% to a record $4,308 per ounce.
China's A-share market started August 6 under broad pressure, with the Shanghai Composite Index opening at 3,864.27, down 0.36%, the Shenzhen Component Index at 13,981.44, down 1.15%, the ChiNext Index at 3,472.15, down 1.78%, and the STAR Composite Index at 1,894.97, down 1.81%. The sell-off was concentrated in previously strong technology segments such as semiconductors, AI computing, education, and CPO (co-packaged optics), signaling profit-taking in higher-valuation growth shares. Precious metals stocks moved in the opposite direction, supported by overnight gains in global bullion markets. COMEX gold futures rose 3.74% to $4,308 per ounce as of the August 5 close, while COMEX silver futures gained 3.34% to $62.26 per ounce. That surge, linked in the report to stronger risk aversion and expectations for global monetary policy easing, lifted China-listed gold names including Jinyi Culture, which notched a second straight daily limit-up, while Shengda Resources briefly touched its daily ceiling. Xiaocheng Technology, Zhongjin Gold (600489.SH), Chifeng Gold (600988.SH), Sichuan Gold (001337.SZ), and Western Gold (601069.SH) were also among the top gainers. Huatai Securities said short-term market consensus still needs to consolidate and that a key window for a possible trend reversal may appear in late August. The brokerage said intensive interim earnings disclosures, Nvidia's results, and potential redemption pressure during any rebound could determine whether technology stocks can build a new primary uptrend. On a medium-term basis, Huatai said evidence remains insufficient for a second-order inflection point in the AI industry trend, and argued investors should shift from prioritizing investment scale to revenue realization, focusing more on segments with clearer earnings visibility, supportive shareholder structures, and relatively limited valuation pressure, including cloud and platform services, semiconductor equipment, and PCB (printed circuit boards) and optical modules. The opening drop underscored persistent investor concern over whether high-valuation technology companies can translate expectations into earnings, while geopolitical and macroeconomic volatility increased demand for safe-haven assets, helping rotate capital toward precious metals shares.