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The Northern Star Resources Ltd. (ASX: NST) The stock price is heading south again today despite no announcements from the company.
As of this writing, shares of the gold miner are down 1.47% at $7.98. That means its shares have fallen 7% so far this week.
In comparison, the shares of Newcrest Mining Ltd (ASX: NCM) lost almost 6% over the same period.
The Evolution Mining Ltd (ASX: EVN) the stock price is taking the biggest drop, down more than 8% this week.
What’s going on with Northern Star?
The price of gold appears to be on course for its second consecutive weekly loss, which could lead investors to offload Northern Star stock price.
According to Trading Economics, the price of gold slipped towards $1,830 an ounce on Thursday, erasing the gains of the previous session.
As of this writing, the yellow metal is selling for US$1,832 per ounce.
Moreover, the S&P/ASX 300 Metals & Mining (ASX:XMM) has fallen more than 5% this week. The sector contains the top 300 ASX companies involved in gold, steel and precious metals.
Another factor that could play a significant role against Northern Star’s actions is further sanctions against Russia.
In particular, gold could be targeted by the European Union, which could restrict Russia’s access to the raw material.
While it is unclear exactly what the sanctions will entail, they may relate to banning gold imports and/or exports. If so, it could affect the country’s ability to tap into its assets held abroad to repay its debts.
Northern Star Stock Price Review
A rout on the ASX since early May caused Northern Star’s share price to fall nearly 19% over the period.
Looking at this year to date, its shares are down about 15%. They have also fallen by around 23% over the past 12 months.
Northern Star has a market capitalization of approximately $9.44 billion.