Newmont Shares Slide 21% as Gold Drops 15% Since Iran Conflict
Newmont’s stock has fallen 21% this month, the second-largest drop in materials after Coeur’s 36% slump as gold prices tumble 15% since the Iran conflict began. Rising 30-year mortgage rates to 6.4% and a stronger dollar have weakened demand for yield-free gold, pressuring miners.
1. Materials Sector Performance
Materials stocks have suffered the largest losses since the Iran war began, with Newmont down 21% this month and Coeur Mining off 36%. Gold has plunged 15% over the same period, erasing its safe-haven appeal and dragging miner valuations lower.
2. Macroeconomic Factors Pressuring Gold
The month-long conflict has pushed 30-year mortgage rates from about 6% to 6.4% and strengthened the dollar, undermining demand for non-yielding assets like gold. Traders now see less chance of Federal Reserve rate cuts this year, further sapping appeal for dividend-free miners.