SD GOLD's stock plummeted 5.05% during intraday trading on Friday, extending losses in the gold sector as market sentiment turned bearish on precious metals.

The decline comes after U.S. April Producer Price Index data came in well above expectations, with headline PPI rising 6% year-over-year and core PPI climbing 5.2%. This significantly boosted market expectations for Federal Reserve rate hikes, raising the opportunity cost of holding non-yielding assets like gold and putting pressure on gold-linked equities.

Additional factors contributing to the sector weakness include rising U.S. Treasury yields across maturities and India's move to raise import duties on gold and silver from 6% to 15% in an effort to curb demand for precious metals and support its domestic currency exchange rate.