On June 25, Chow Tai Fook fell 3.14% in regular trading, trading at 11.17 HKD/share, with turnover of approximately 30.92 million HKD. The decline comes amid a confluence of international gold price weakness and deteriorating domestic jewelry consumption fundamentals.

On the macro front, COMEX gold has fallen for six consecutive weeks, with London spot gold breaching the key $4,200/oz support level, representing a pullback of over 25% from the yearly high. Domestically, major brand gold jewelry prices have dropped to approximately 1,238-1,265 yuan/gram, a cumulative decline exceeding 460 yuan/gram from the early-year peak above 1,700 yuan/gram, representing a drop of over 27%.

On the company front, Chow Tai Fook recently reported its fiscal year results showing net closure of over 900 stores in mainland China, with same-store sales volume declining for four consecutive years. Q1 mainland gold jewelry consumption plunged 37.1% year-over-year to 84.6 tonnes, with significant inventory pressure amid gold price volatility. Despite profit surging over 50% year-over-year driven by higher gold prices and margin optimization, the volume contraction and aggressive store rationalization weighed heavily on market sentiment.

Within the Specialty Stores sector, POP MART down 2.91%, CTG Duty-Free down 0.3%, Luk Fook Holdings down 2.64%, Everest Gold down 4.11%, and Sa Sa International flat.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)