CHIFENG GOLD (06693) experienced a significant plunge of 5.04% in Tuesday's trading session, as gold-related stocks broadly declined in Hong Kong. The sharp downturn comes amid a backdrop of retreating precious metals prices and diminishing safe-haven demand.

The weakness in CHIFENG GOLD's stock price aligns with a broader trend observed in the gold sector. Other notable declines include CHINAGOLDINTL (02099) falling 3.31%, TONGGUAN GOLD (00340) dropping 2.92%, and SD GOLD (01787) declining 1.73%. This sector-wide downturn follows a substantial pullback in gold and silver prices, with spot gold plunging 3% and briefly breaking below the $3,900 level on October 27.

Analysts attribute the decline to recent trade progress between China and the United States, which has reduced safe-haven demand for precious metals. CITIC Futures noted that the US temporarily lifting its threat of 100% tariffs on Chinese goods has contributed to the pressure on gold prices. Additionally, SWS Research has cautioned that gold may no longer be a wise short-term investment choice, citing high volatility and the unwinding of leveraged gold ETF positions as factors eroding gold's risk-reward ratio in the near term.