US Stock Market Move | Precious metals sector broadly declines; Gold Fields Limited Sponsored ADR (GFI.US) falls over 6%.

On Tuesday, the precious metals sector broadly declined, with Gold Fields Limited Sponsored ADR (GFI.US), Pan American Silver Corp. (PAAS.US), and Harmony Gold Mining Co. Ltd. Sponsored ADR (HMY.US) falling over 6%, while Coeur Mining, Inc. (CDE.US), Hecla Mining Company (HL.US), and Kinross Gold Corporation (KGC.US) dropped over 5%. On the news front, spot gold fell over 2%, losing the $4,100 level; spot silver dropped over 3%, currently at $51.7. Analyst Ira Jersey noted that today's headline CPI data came in above expectations across the board, bringing the possibility of a 50-basis-point Fed rate hike in December, as raised by Fed Governor Waller, back onto the table. Therefore, the market's rapid bear-flattening reaction is not surprising. The yield curve will continue to flatten until the Fed stops raising rates. If a 50-basis-point hike does occur in December, the likelihood that the Fed ultimately raises rates again next March is extremely high.