Metals Prices Jump Higher over Power Crisis in South Africa
January 29, 08 by Ronit Scheyer
Precious metals prices continue to rise, bolstered most recently by the forced cessation of mining operations in South Africa due to power shortages. Gold closed in New York on Monday at $926 per ounce, after reaching a high of $930.00, a jump of approximately 10.5 percent in the last 30 days.
Platinum closed up 2.93 percent to a record high of $1,721 per ounce, and silver also closed high at $16.68 per ounce. Platinum and silver have risen 12.5 and 13.9 percent respectively in the last 30 days.
South Africa is the world’s number one platinum producer and number two in gold.
Alongside the power crisis in South Africa, analysts are also citing the ongoing relief rally in global equity markets and concerns that the U.S. economy may already be in a recession as contributing to the rising precious metals prices.
