Newmont Stock Hits New Highs: What's Happening?

Shares of Newmont Corporation (NASDAQ:NEM) are surging Monday after the company said it would sell a $29.5 million stake in Fuerte Metals. Newmont stock is approaching key resistance levels. Why are NEM shares at highs? What To Know: Newmont, a producer of gold, silver, copper, zinc and lead, has agreed to sell more than 6.77 million shares of Fuerte Metals through its subsidiary Goldcorp Canada ULC. The shares will be sold at a price of $4.35 Canadian dollars ($3.16), and the transaction is expected to close within a week. The sale will reduce Newmont’s stake from 24% to roughly 19.5%. The company said it does not currently intend to further reduce its ownership interest in Fuerte below the post-transaction ownership level, though it will continue to monitor market conditions in the future. Shares of precious metals stocks are also getting a lift on Monday as gold reaches new highs due to fiscal deficits in the U.S., UK, Europe, Japan and China. Rising geopolitical tensions also appear to be driving prices of precious metals higher. NEM Analysis: Newmont stock is currently showing strong bullish momentum, trading well above its key moving averages. The stock is positioned 13.1% above its 20-day SMA, 18.3% above its 50-day SMA, and a remarkable 54.7% above its 200-day SMA, indicating a solid upward trend. The RSI is currently at 67.05, which is considered neutral but approaching overbought territory. This suggests that while the stock has strong momentum, traders should be cautious of potential pullbacks if the RSI crosses above 70. MACD is above its signal line, further indicating bullish momentum in the stock. Overall, the technical setup for NEM looks promising, with strong momentum indicators and a solid long-term performance. Traders should remain vigilant for any signs of reversal as the stock breaks out to new all-time highs. NEM Price Action: Newmont Corporation shares were up 4.01%, trading at $105.35 at the time of publication, according to Benzinga Pro. Read More: Gold Prices Are Surging—Global X’s New Miners ETF Wants To Join The Party Image: Shutterstock