The world’s leading gold producer has seen its equity value pull back sharply from a record high. Market volatility, driven by shifting expectations for U.S. monetary policy and its direct impact on bullion prices, is at the center of this move. What is driving the sudden shift in sentiment for this mining giant?
From Record High to Consolidation Phase
On January 29, 2026, Newmont Mining shares reached an unprecedented peak, trading above $134. However, this milestone was short-lived. A significant sell-off ensued, with the stock currently quoted at $117.14.
This correction represents a decline of approximately 10.29% from that high. Despite the recent pressure, the stock’s performance remains robust on a broader timeline, showing a 15.73% gain since the start of the year and an impressive 180.57% advance over the past twelve months. The 52-week high stands at $130.57, recorded on January 28, 2026.
Hawkish Fed Rumors Trigger Sector-Wide Pressure
The downturn gained momentum on January 30, following market speculation that the Trump administration might nominate Kevin Warsh as the next Federal Reserve Chair. Warsh, a former Fed governor, is perceived as a monetary policy hawk, leading investors to anticipate a more aggressive tightening stance.
The immediate market reaction was a stronger U.S. dollar, with the dollar index climbing as much as 0.4%. This strength weighed heavily on dollar-denominated commodities like gold. Bullion, which had recently soared past $5,600 per ounce, tumbled briefly below the $5,000 threshold. As the globe’s largest gold miner, Newmont’s stock is particularly sensitive to these price swings, serving as a key proxy for institutional investors seeking exposure to the metal.
Should investors sell immediately? Or is it worth buying Newmont Mining?
Compounding the downward pressure were reports of forced liquidations. Some traders were said to be unwinding precious metal positions to cover losses stemming from a concurrent sell-off in the technology sector. This cross-market dynamic amplified the decline for Newmont and its peers.
Analyst Confidence Remains Firmly Intact
Despite the share price retreat, research analysts maintain a bullish outlook. On January 30, UBS reaffirmed its “Buy” rating on Newmont and raised its price target from $125 to $160. This move followed a similar upgrade from Scotiabank just four days prior, on January 26, when the bank increased its target from $114 to $152 while maintaining a “Sector Outperform” recommendation.
Earnings expectations also support a positive view. According to Zacks Investment Research, analysts are forecasting Newmont’s fourth-quarter 2025 earnings per share to come in at $1.81. This would represent a substantial year-over-year increase of 29.29%.
Upcoming Earnings Report in Focus
All eyes will now turn to Newmont’s financial release scheduled for after the market closes on February 19, 2026. The report will cover results for both the fourth quarter and the full 2025 fiscal year. Investors will scrutinize the figures to gauge how effectively the company capitalized on the recent surge in gold prices. Furthermore, the market will closely analyze management’s forward-looking commentary, especially regarding the potential impact of a more hawkish monetary policy direction under new Fed leadership.
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