NEWS. RESOURCES. DADVICE. THE HOME OF MEN-TERTAINMENT

Down 18% in a week, what’s stolen the shine from the Regis Resources share price?

SHARE

The Regis Resources Limited (ASX: RRL) share price has fallen 18% over the past week.

This comes despite the company keeping a relatively quiet profile on the news front.

At Friday’s market close, the gold miner’s shares recovered some lost ground to finish 1.32% higher at $1.54. That’s 18.09% lower than the $1.88 it closed at the previous Friday.

It’s worth noting that Regis Resources shares touched a 52-week low of $1.465 on Friday before quickly reversing their losses.

What’s happening with Regis Resources?

After four consecutive sessions in the red, it appears investors are taking advantage of the Regis Resources share price weakness.

The extreme volatility on the ASX mixed with a deteriorating gold price have caused havoc with the company’s shares.

This is because of fears surrounding more aggressive rate hikes by the Reserve Bank of Australia to cool down inflation.

While the negative news has been priced in, investors will be eagerly awaiting the next consumer price index report. This is scheduled to be released on 27 July and will tell us about the latest inflation levels for the June quarter.

If interest rates are accelerated, it’s possible the Regis Resources share price could fall further as investors switch to government bonds.

At the time of writing, the yellow metal is fetching US$1,823 per ounce. This represents a decline of almost 2% in the past 30 days.

In addition, the S&P/ASX 300 Metals and Mining Industry (ASX: XMM) has also headed south over the past week, down by almost 6%.

The sector contains companies in the top 300 ASX companies that are involved with gold, steel, and precious metals.

It’s been a rough ride for Regis shareholders with the company’s shares plummeting by 21% in 2022.

However, when looking at the past 12 months, those losses are further amplified with the Regis Resources share price down 37%.

Based on today’s closing price, the company presides a market capitalisation of approximately $1.15 billion.

Source: Read More

We’ve Already Come Too Far To End This Now.

Subscribe To Our Weekly Newsletter

Get notified about new articles