Strong US inflation data raises expectations of interest rate hikes, leading to declines in gold and mining stocks

Affected by higher than expected inflation data in the United States, the market's bet on the Federal Reserve raising interest rates has intensified, leading to a decline in gold prices and gold mining stocks. Barrick Mining (B.N) fell 1.5%, while Newmont (NEM. N) fell 1.7%. HMY. N fell 1.6%, GFI. N fell 0.8%, and SBSW. N fell 2.6%. Agnico Eagle Mining (AEM. N) fell 2.2%, while Kinross Gold (KGC. N) fell 1.6%. AI interpretation: The unexpected rise in inflation data directly shattered the market's illusion of a rapid decline in inflation. This result completely reversed the expectation of interest rate cuts and forced a large-scale withdrawal of funds from safe haven assets. The sustainability of the high interest rate environment has been further consolidated, directly suppressing the valuation space of precious metals. The collective decline of mining stocks reflects investors' deep concerns about rising financing costs and deteriorating profit expectations.