Losing their shine: 3 ASX 200 gold shares hitting new 52-week lows today

Thursday is proving to be a rough day for S&P/ASX 200 Index (ASX: XJO) gold shares as many of the market’s favourites hit new 52-week lows. It comes after the price of the yellow metal slipped overnight.

Here’s how these ASX 200 gold shares were trading at their lowest points today:

• Newcrest Mining Ltd (ASX: NCM)
  • Fell around 1% to a new multi-year low of $19.41

• Northern Star Resources Ltd (ASX: NST)
  • Tumbled 1.9% to a new four-year low of $6.78  

• Evolution Mining Ltd (ASX: EVN)
  • Slumped around 2.5% to a near-five year low of $2.35

For context, the ASX 200 is in the green on Thursday. It’s currently up 0.35%. Meanwhile, the S&P/ASX 200 Materials Index (ASX: XMJ) has lifted 1.98%.

So, what exactly is dragging on these ASX 200 gold shares? Let’s take a look.

ASX 200 gold shares suffer as metal’s price plunges

The price of gold plummeted more than 2% overnight to reach a new nine-month low.

Gold futures slipped 2.1% to US$1,763.90 an ounce in Wednesday’s session overseas, according to CommSec. Spot gold was also lower, trading at US$1765.87 an ounce when the US market closed.

It came as the US dollar strengthened while the US Federal Reserve appeared to become more hawkish, reports Reuters.

A rising US dollar makes buying gold more expensive for those trading in other currencies. Meanwhile, expectations of upcoming rate hikes likely damages demand for the metal, which yields no interest.

The post Losing their shine: 3 ASX 200 gold shares hitting new 52-week lows today appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Thursday
• ASX lithium stocks avoid share price shock amid commodities lashing
• Why are ASX 200 gold shares falling today?
• 5 things to watch on the ASX 200 on Wednesday
• 5 things to watch on the ASX 200 on Tuesday

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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