The Australian share market has shown some signs of easing selling pressure over recent trading sessions, in a week where the Reserve Bank of Australia warned the government, and workers around the country, that higher wages growth into the future could lead to a 1970s inflation spiral. Meanwhile, some of the latest additions to the ASX 200 had a week to forget.

Which shares excelled?

While not the stocks with the biggest gains this week, insurance duo QBE Insurance (ASX: QBE) and Insurance Australia Group (ASX: IAG) bounced back from their recent sell-off. The latter was recently trading at a near 10-year low, but the prospect of an aggressive rate hike cycle may be prompting buying interest in these stocks, as insurers tend to benefit from rising interest rates.There has also been some respite for shareholders in Woolworths (ASX: WOW), Metcash (ASX: MTS), and Coles (ASX: COL). As sellers of consumer staples, the supermarket operators are more shielded than discretionary retail names, and as the market sell-off eases, at least for the time being, investors may be eyeing more defensive' stocks like these that have the power to pass on rising costs to consumers.Housing names like REA Group (ASX: REA) and Domain Holdings (ASX: DHG) entered the trading week facing the fallout of a weekend where the national auction clearance rate plunged to its lowest level in months. However, sentiment towards property stocks picked up this week, without any specific catalyst. The uptrend may be attributable to a broader rebound across a number of large-cap names, and some investors may be opting to buy-the-dip on the view that ghastly predictions for the housing market could be overblown.On the back of breaking news this morning, aspiring zero-carbon lithium producer Vulcan Energy Resources (ASX: VUL) catapulted higher. The company announced a $76 million investment from global automotive giant Stellantis, which has acquired an 8% stake in the company, while also extending its binding lithium hydroxide offtake to 2035.A gradual increase in buying volume at the top-end of town is what has largely allowed the market to grind higher this week, with stocks like CSL (ASX: CSL), James Hardie (ASX: JHX), and Wesfarmers all doing their part to outweigh heavier losses in resources stocks.

Which shares dragged on the market?

Just a week after it hurtled towards its newfound status in the ASX 200 index, shares in Lake Resources (ASX: LKE) have imploded this week, even after taking into account this morning rally. Shedding an astonishing $1 billion in market cap this week alone, the company was dealt a sudden and unexpected blow when its CEO and Managing Director, Steve Promnitz, resigned with immediate effect. Almost as soon as he departed, it is understood he sold his significant stake in the company comprising 10.2 million shares. Shorters have latched onto the news this week, and with the stock now included in the ASX 200, that means it has become more accessible for short-oriented traders to borrow stock and bet against the company. In one day alone last week, just before the company was admitted to the benchmark index, the level of short interest in Lake Resources nearly doubled.It was meant to be a momentous week for Core Lithium (ASX: CXO), which was also added to the ASX 200 at the start of the week, but recent trading sessions have been anything but memorable for shareholders in the lithium stock. It wasn't alone, however, with battery metals peers like Liontown Resources (ASX: LTR) and Novonix (ASX: NVX) also feeling the heat, despite paring some losses this morning.One catalyst for the sell-off in this sector was news that the government in Germany has flatly rejected EU plans to ban the sale of new combustion engine cars by 2035. That may slow the uptake of electric vehicles, especially if other European countries follow suit, and would ultimately dampen or delay demand for critical mineral resources used in the production of electric vehicle batteries. It was a tough day at the office for shareholders in St Barbara (ASX: SBM) on Wednesday, with the gold stock plummeting on news the company has deferred a final investment decision for the expansion of its Simberi project in Papua New Guinea. 

With inflation also driving project costs sharply higher, SBM management declared the asset could potentially be sold. At the same time, St Barbara delivered a double-whammy by announcing that its Touquoy mine in Nova Scotia faces the risk of being suspended and mothballed if it does not receive approval to raise the walls of a tailings dam. 

Fellow gold names Regis Resources (ASX: RRL), Silver Lake Resources (ASX: SLR), and Ramelius Resources (ASX: RMS) are also under pressure this week as the latter announced a challenging' operating environment in missing its FY22 production guidance.In keeping with the resources theme, uranium duo Energy Resources of Australia (ASX: ERA) and Paladin Energy (ASX: PDN) have struggled to find steady footing this week. The focus on the uranium sector has dissipated as Australia energy crisis gradually improves, with these stocks initially gaining traction several weeks ago on speculation nuclear energy could be a talking point within the national energy mix.Wrapping things up, a six-month low for iron ore prices in the wake of cooling Chinese demand has quashed stocks like Grange Resources (ASX: GRR) and Champion Iron (ASX: CIA), while coal stocks, led by Stanmore Resources (ASX: SMR), have also had a disappointing week as the Queensland government increased royalties across the industry. 

We'll be back next week with another Weekly ASX Trading Wrap Up - until then, have a great week!