Chifeng Gold (06693) saw its stock price plummet by 8.06% in early trading on Wednesday, as gold prices retreated from record highs. The sharp decline in Chifeng Gold's share price outpaced the broader selloff in gold stocks, reflecting investor concerns about the sustainability of recent gains in the precious metal market.

The downturn in gold stocks came as the price of gold fell for a second consecutive day after briefly touching a new all-time high of $3,500.10 an ounce on Tuesday. The precious metal's price declined by as much as 1.9% in early Asian trading on Wednesday, following a 1.3% drop in the previous session. This reversal was attributed to profit-taking by investors and improved risk appetite in the broader market, with equities bouncing back while bonds and the dollar stabilized.

Chifeng Gold's 8.06% decline was more severe than some of its peers in the Hong Kong market. For comparison, Wanguo Gold fell 9%, SD Gold dropped 8%, while Tongguan Gold matched Chifeng Gold's 6% decline. Other notable moves included Lingbao Gold and China Gold International Resources, both of which saw 5% decreases. The widespread selling pressure on gold stocks underscores the sector's sensitivity to fluctuations in the underlying commodity price and highlights the challenges facing companies like Chifeng Gold in navigating the volatile precious metals market.