Investing.com — Gold and silver mining stocks fell sharply as precious metal prices pulled back from recent record highs, with silver miners experiencing the steepest declines.
Barrick Mining (NYSE:B), Agnico Eagle Mines (NYSE:AEM), Kinross Gold (NYSE:KGC), Newmont (NYSE:NEM), Eldorado Gold (NYSE:EGO), and AngloGold Ashanti (NYSE:AU) all fell 4% on the day. Gold Fields (NYSE:GFI) dropped 6%, while silver miners faced even larger losses, with Pan American Silver (NYSE:PAAS) and Hecla Mining (NYSE:HL) falling 6%, First Majestic Silver (NYSE:AG) and Coeur Mining (NYSE:CDE) declining 7%, and Endeavour Silver (NYSE:EXK) tumbling 8%.
The selloff came as gold prices retreated from Monday’s all-time high of $4,381.50 per ounce to a low of $4,220. Silver similarly pulled back from its peak of $54.50 to $49.20 per ounce.
Market sentiment shifted as optimism grew regarding a potential U.S. government reopening and easing trade tensions, reducing demand for precious metals as safe-haven assets. This shift in investor preference followed a historic rally that had recently driven both metals to record levels.
The mining companies, whose profits are closely tied to underlying commodity prices, saw their valuations adjust downward as precious metals cooled from their recent surge.
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