Northern Star Resources Ltd (NST.AU) saw its stock price plummet by 6.28% during Tuesday's trading session, as Australian gold stocks faced significant pressure following positive developments in US-China trade relations. The decline was part of a broader trend affecting the entire gold sector in Australia.

The Australian gold stocks index (.AXGD) dropped as much as 6.3% to 11,152.2 points, reaching its lowest level since April 10. This sharp decline was primarily attributed to investors moving away from safe-haven assets like gold after the United States and China announced a temporary deal to reduce tariffs. As a result, gold prices fell, negatively impacting gold mining companies.

Northern Star Resources was not alone in its decline, with other major players in the Australian gold mining sector also experiencing significant losses. Bellevue Gold (BGL.AX) and Evolution Mining (EVN.AX) were among the hardest hit, shedding 6.8% and 6.2% respectively, placing them among the top 10 percent losers on the local benchmark index (.AXJO). Despite the day's sharp decline, it's worth noting that the Australian gold stocks index has still posted impressive gains of 32.6% year-to-date, highlighting the sector's strong performance prior to this setback.