Gold mining stocks are broadly under pressure, with Tongguan Gold Group Ltd (HKEX: 00340) falling 3.64% to HK$2.515, Chifeng Jilong Gold Mining Co Ltd (HKEX: 06693) dropping 3.43% to HK$34.9, Shandong Gold Mining Co Ltd (HKEX: 01787) declining 2.46% to HK$19.07, and China Gold International Resources Corp Ltd (HKEX: 02099) slipping 2.11% to HK$213.6.

On the news front, although US Treasury yields have pulled back from their highs, they remain in a range not seen in more than two decades, and gold prices are fluctuating repeatedly at low levels. The market is currently closely watching the US CPI data scheduled for release on October 14.

Guolian Futures believes that precious metals will find it difficult to restart a trend-based rally until oil prices, the 10-year US Treasury yield, and the US dollar index show a clear turning point, especially before the Treasury yield falls below 5%.

Guolian Futures stated that going forward, key focus should be placed on the September CPI inflation data and the evolution of Middle East geopolitics. If inflation stickiness exceeds expectations and rate hike expectations for October or even the remainder of the year are reignited, precious metals valuations will continue to be suppressed. If inflation continues to decline alongside weakening economic signals — with attention on the impact of high financing costs on economic growth — precious metals may see a window for a phased recovery.