Royal Gold Drops Big in the Basic Materials Sector This Afternoon

Through most of the trading day on Wednesday, September 7, 2011, these stocks are bringing down the Basic Materials (NYSE:XLB) sector. Long time Wall St. Cheat Sheet readers know to watch stock prices because Technicals on the Stock Chart are Strong’ is one of the ‘T’s in our CHEAT SHEET investing framework.

Shares of Newmont Mining Corporation (Holding Company) (NYSE:NEM) are trading at $63.05, down $1.45 (-2.3%) from the previous close of $64.51. Newmont Mining explores and acquires gold properties and produces copper.

Stock Price Performance: From June 10, 2011, to September 6, 2011, the stock price had risen $12.85 (24.9%) from $51.66 to $64.51. The stock price saw one of its best stretches over the last year between May 13, 2011 and May 31, 2011 when shares rose for 12 straight trading days, rising 7.2% (+$3.76). It saw one of its worst periods between May 31, 2011 and June 8, 2011 when shares fell for seven straight trading days, falling 7.5% (-$4.19).

CF Industries Holdings, Inc. (NYSE:CF) is one of the sector losers in price. Its shares are trading at $184.23, down $1.32 (-0.8%) from the previous close of $185.69. CF Industries Holdings Inc is a manufacturer and distributor of nitrogen and phosphate fertilizer products, including ammonia, urea, urea ammonium nitrate solution, diammonium phosphate and monoammonium phosphate.

Stock Price Performance: From August 5, 2011, to September 2, 2011, the stock price had risen $35.62 (24.4%) from $146.27 to $181.89. The stock price saw one of its best stretches over the last year between March 28, 2011 and April 5, 2011 when shares rose for seven straight trading days, rising 12.3% (+$15.70). It saw one of its worst periods between April 5, 2011 and April 12, 2011 when shares fell for six straight trading days, falling 6.8% (-$9.73).

Yamana Gold Inc. (NYSE:AUY) is among the price losers in the sector as its stock price is $16.50, down 42 cents (-2.4%) from the previous close of $16.91. Yamana Gold Inc. is a gold producer with significant gold production, gold development stage properties, exploration properties and land positions in Brazil, Chile, Argentina, Mexico and Colombia.

Stock Price Performance: From June 10, 2011, to September 6, 2011, the stock price had risen $5.44 (47.4%) from $11.47 to $16.91. The stock price saw one of its best stretches over the last year between November 26, 2010 and December 6, 2010 when shares rose for seven straight trading days, rising 12.7% (+$1.42). It saw one of its worst periods between June 21, 2011 and June 27, 2011 when shares fell for five straight trading days, falling 2.9% (-34 cents).

Royal Gold, Inc. (NASDAQ:RGLD) is among the price losers in the sector. Its shares are trading at $78.71, which is $2.08 (-2.5%) below the previous close of $80.70. Royal Gold Inc, together with its subsidiaries, is engaged in the business of acquiring and managing precious metals royalties. The Company owns royalty interests that are currently in development stage.

Stock Price Performance: From June 10, 2011, to September 6, 2011, the stock price had risen $23.09 (40.1%) from $57.61 to $80.70. The stock price saw one of its best stretches over the last year between April 12, 2011 and April 21, 2011 when shares rose for eight straight trading days, rising 15% (+$7.84). It saw one of its worst periods between May 31, 2011 and June 8, 2011 when shares fell for seven straight trading days, falling 5.9% (-$3.66).

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