Gold stocks declined broadly in Hong Kong's morning session. At the time of writing, Chifeng Gold (06693) fell 4.46% to HK$43.58; Lingbao Gold (03330) dropped 4.79% to HK$23.84; Zijin Mining International (02259) decreased 4.17% to HK$165.3; and Tongguan Gold (00340) declined 4.19% to HK$2.97.

On the news front, international crude oil prices surged while spot gold and silver prices retreated on May 11th. WTI crude oil futures rose, and spot gold fell below the $4700 per ounce mark. According to reports, on May 10th local time, the U.S. President posted on his social media platform "Truth Social" stating that he had read the response from Iran's so-called "representatives" and did not like it, calling it "totally unacceptable."

Notably, the U.S. released its April non-farm payrolls data. Non-farm payrolls increased by 115,000, exceeding market expectations; the unemployment rate was 4.3%, in line with market forecasts; and average hourly earnings rose 3.6% year-on-year, falling short of market expectations.

Kaiyuan Securities believes that a Federal Reserve rate cut in 2026 is not entirely impossible. The impact of oil price shocks on economic growth is lagged, and even if inflation rises in the short term, the Fed may choose to wait and see rather than raise rates immediately. According to the latest forecast from Bank of America, the Fed will delay rate cuts until the second half of 2027, primarily due to high inflation levels and robust employment growth. Previously, the institution had expected the Fed to cut rates once each in September and October this year.