Gold jewelry stocks experienced a broad decline. As of the latest update, CHOW TAI FOOK (01929) fell 4.55% to HK$10.91; LAOPU GOLD (06181) dropped 4.15% to HK$480.2; CHOW SANG SANG (00116) decreased 2.71% to HK$10.41; LUK FOOK HOLD (00590) was down 1.89% to HK$20.76.

The backdrop for this movement is that inflation expectations are forcing central banks globally to tighten monetary policy, keeping sustained pressure on international gold and silver prices. On May 28th, a comparison of domestic gold jewelry prices showed a significantly accelerated decline in prices for many brands today. Notably, brands like Chow Sang Sang and CHOW TAI FOOK saw their pure gold jewelry prices fall by over 30 yuan per gram, with many quoted prices retreating to around 1,350 yuan per gram.

Huachuang Securities pointed out that high gold prices have driven the industry to exhibit a structural characteristic of "shrinking jewelry volume, expanding investment gold volume, and growing retail sales value." This suggests the quality of industry growth is lower than the apparent growth rate of retail sales. Zhejiang Securities also indicated that risks in the gold jewelry sector warrant caution. In the current high gold price environment, the tonnage of gold jewelry consumption continues to decline, which may put pressure on the profitability of related listed companies.