South African Gold Mining Stocks Hit Record Highs Amid Gold Rally

South African gold mining stocks have surged to their best monthly performance on record, driven by gold prices hitting multiple all-time highs in 2025. The country’s mining sector outperformed global markets in March, shielding the Johannesburg Stock Exchange (JSE) from global volatility.

Gold Miners Lead Market Gains

An index tracking South African mining companies jumped 33% in March, marking the highest monthly increase since Bloomberg began compiling data in 1995. This helped the FTSE/JSE All Share Index rise 3.1% for the month, outperforming other emerging markets and even U.S. equities.

Gold producers led the charge, with:

• Harmony Gold Mining and Sibanye Stillwater both soaring 48%, making them the top-performing stocks in the JSE benchmark index.

• DRDGOLD and AngloGold Ashanti Plc also posted strong gains, reinforcing the mining sector’s dominance.

Why Are Gold Stocks Booming?

Gold has been in high demand due to central-bank buying and its role as a safe-haven asset amid concerns over the escalating trade war. Wall Street analysts, including Goldman Sachs, expect the metal’s rally to continue, predicting prices could reach $3,300 per ounce in the coming months.

“I remain happy to ride this momentum wave to the upside, with bullion’s rally unlikely to come to an end any time soon,” said Michael Brown, senior research strategist at Pepperstone Group.

South African Stocks Outperform Global Markets

The South African benchmark index outpaced the global market, rising almost 5% in dollar terms, while the S&P 500 recorded a nearly 6% loss. Investors seeking value are increasingly turning to the Johannesburg Stock Exchange (JSE), where stocks remain cheaper than U.S. equities.

“The JSE has benefited from global fund flows due to its relatively lower valuations,” said Lester Davids, an analyst at Unum Capital.

Platinum Miners Also Reap the Benefits

South African platinum producers have also seen a surge, driven by rising platinum prices, which are up 10% year-to-date. The slowdown in electric vehicle sales has fueled demand for platinum, used in gasoline-powered engines.

Leading platinum mining stocks include:

• Impala Platinum Holdings (up 43% in March)

• Northam Platinum Holdings (up 35% in March)

“March has been a continuation of key themes, with precious metals and large-cap stocks driving market gains,” noted Peter Takaendesa, head of equities at Mergence Investment Managers.

What’s Next for South African Miners?

With gold prices expected to rise further and global investors seeking alternatives to overvalued U.S. equities, South African mining stocks remain an attractive investment. However, ongoing geopolitical risks and economic uncertainty could bring volatility in the coming months.

For now, South Africa’s gold and platinum miners are enjoying a historic rally, proving once again that precious metals remain a resilient asset in turbulent times.

{Source MoneyWeb}

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