Shares in ASX gold miners decline after Trump and Xi signal more trade talks
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More news: Gold miners were among the biggest losers on the ASX 200 on Friday afternoon as demand for the haven asset fell on news of the potential for trade war relief after US President Donald Trump and Chinese President Xi Jinping held their first call since January.
At 2:11pm AEST, West African Resources was leading losses on the ASX 200, with a share price fall of 6.5% to $2.45. The company's share price has been on the decline since Wednesday, when it announced it would align with Burkina Faso's new mining code, which requires the country's equity interest in the company's local projects to rise from 10% to 15%.
Also sharply down were Regis Resources (down 5.8% to $4.85), Genesis Minerals (down 4.2% to $4.52) and Evolution Mining (down 3.9% to $8.72).
The spot price of bullion fell 0.5% yesterday but is recovering after the US reported more unemployment claims than expected ahead of the release of broader employment figures this evening.
Critical minerals stocks fall after Trump-Xi trade call
More news: ASX critical minerals stocks sank on Friday after US President Donald Trump and Chinese President Xi Jinping agreed to further negotiations on tariffs and Chinese restrictions on the supply of rare earth minerals.
Lithium miners Pilbara Minerals (down 4.3% to $1.29), IGO (down 3.3% to $4.20) and Liontown Resources (down 3.1% to $0.62) were among the biggest losers on the ASX 200 at 12:23pm AEST.
Budding rare earths refiner Iluka Resources’ share price had also fallen 3.1% to $3.80 while Lynas Rare Earths was down 0.7% to $9.20.
Last week, Trump accused China of violating a 90-day trade war truce that was agreed in May by not easing export restrictions on rare earth minerals and related magnets — key inputs to electronics and electric vehicles — it imposed in April.
This was rebuked at the start of this week by the Chinese Ministry of Commerce, which also accused the US of violating the deal.
Trump and Xi hold first phone call since January
The news: US President Donald Trump and Chinese leader Xi Jinping spoke by phone on Thursday, their first known conversation since Trump took office in January, amid renewed tensions over trade and rare earths.
What they said: Trump called the 90-minute conversation “very good” and said it focused almost entirely on trade, with both leaders agreeing to resume talks “shortly, at a location to be determined," he said.
Trump said the issue of rare earth exports had been addressed, although details remained unclear.
"The conversation was focused almost entirely on TRADE. Nothing was discussed concerning Russia/Ukraine, or Iran," Trump posted.
China said the call was made at Trump’s request and urged the US to withdraw “negative measures.”
According to a brief statement from China’s official Xinhua News Agency, Xi told Trump “the US side should take a realistic view of the progress made and withdraw the negative measures imposed on China.”
The context: The call followed a 90-day truce agreed in May to roll back some of the tit-for-tat tariffs. Tensions escalated in recent weeks after US accusations that China violated the agreement by slow-walking rare earth exports. China, in turn, cited US export-control rules on AI chips, student visa revocations and other “discriminatory and restrictive measures.”
It was the first time the leaders spoke since Trump took office in January. Beijing had previously resisted a call with Trump, as the Chinese leader reportedly wanted the US reduce pressure before engaging directly.
Both leaders invited each other for future visits.
Talks will involve Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick and US Trade Representative Jamieson Greer, Trump said.
