Australian gold miners saw their share prices tumble yet again in early trading today, after the spot gold price fell 2.5% to US$1,227 an ounce.

In the lead-up to the US election, the gold price had soared but has since slumped 8% from its most recent peak.

The prospect of higher interest rates – at least in the US – and higher economic growth despite Donald Trump’s election as president have conspired against gold and made other assets more attractive. Bonds are now more appealing to investors with the prospect of higher interest rates, and economic growth could spark higher inflation – so there’s less reason for investors to hold gold. The metal is often seen as one of the best hedges against inflation.

News that legendary hedge fund manager Stanley Druckenmiller had sold all his gold holdings – roughly a third of his portfolio – on the day of the election has also pricked the interest of investors.

That’s why the performance of the ASX-listed gold miners looks like this today:

Company Share Price Market Cap ($m) Price move
Beadell Resources Ltd (ASX: BDR) $0.38 $404.0 -10.1%
Perseus Mining Limited (ASX: PRU) $0.54 $554.9 -8.5%
Resolute Mining Limited (ASX: RSG) $1.28 $947.0 -7.9%
Metals X Limited (ASX: MLX) $1.45 $878.6 -7.4%
EVOLUTION FPO (ASX: EVN) $2.11 $3,468.4 -7.5%
Saracen Mineral Holdings Limited (ASX: SAR) $1.11 $891.9 -7.5%
Blackham Resources Ltd (ASX: BLK) $0.60 $171.5 -6.7%
Millennium Minerals Ltd (ASX: MOY) $0.28 $214.8 -6.8%
Northern Star Resources Ltd (ASX: NST) $3.87 $2,321.1 -6.9%
Newcrest Mining Limited (ASX: NCM) $21.11 $16,185.8 -6.1%
Gold Road Resources Ltd (ASX: GOR) $0.63 $543.5 -5.3%
St Barbara Ltd (ASX: SBM) $2.37 $1,178.7 -6.3%
Doray Minerals Limited (ASX: DRM) $0.50 $180.2 -4.7%
OceanaGold Corporation (ASX: OGC) $3.39 $2,043.3 -5.3%
Ramelius Resources Limited (ASX: RMS) $0.44 $228.5 -5.4%
Silver Lake Resources Limited (ASX: SLR) $0.52 $262.9 -6.0%
Alkane Resources Limited (ASX: ALK) $0.55 $275.3 -5.2%

Source: Google Finance

Much will depend on the actions of new president Donald Trump and the US government. One thing Mr Trump has been concerned about was that the US Federal Reserve needs to raise rates and at a faster pace.

That could signal a massive crash in gold prices – and ASX-listed gold miners could follow.

3 rotten shares to sell alongside gold miners, and 1 to buy today

After a double-digit rally for the ASX since 2016 lows, investors should be on high alert. You'll find a full rundown below of 3 shares we think you should avoid today plus one top pick worth buying, even if the market turns south and the RBA keeps rates at an "emergency low." Simply click here to uncover these stocks.

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Motley Fool writer/analyst Mike King doesn't own shares in any companies mentioned. You can follow Mike on Twitter @TMFKinga

The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.