Gold-related equities came under renewed selling pressure during Tuesday's trading session, with shares of major gold producers extending their decline. As of the time of writing, Zijin Gold Intl (02259) had fallen 4.26% to HK$148.20, while Lingbao Gold (03330) dropped 4.22% to HK$22.24, and Shandong Gold (01787) declined 1.96% to HK$21.96.

On the news front, another Federal Reserve official added to the hawkish rhetoric. St. Louis Fed President Alberto Musalem stated on Monday that, due to robust demand and commodity price shocks that have extended beyond oil, the Fed may need to raise interest rates further to bring inflation down. He also emphasized that it would be preferable for the Fed to act sooner rather than later, rather than waiting.

According to CITIC Futures, looking at gold's own pricing dynamics, the short-term lack of a new singular macroeconomic narrative following the September rate hike has reduced market attention on Fed independence. Additionally, falling oil prices have weakened energy-inflation trading, potentially increasing gold's sensitivity to real U.S. Treasury yields, the U.S. dollar, and comments from Fed officials.