Gold has just made history.
For the first time, the metal broke through the US $4,000 per ounce mark – a milestone that underscores gold’s enduring role as a global safe-haven asset.
What’s Driving the Rally
According to reports from Fortune and The Economic Times, the surge comes on the back of a weaker US dollar, uncertainty around the US government shutdown, and sustained central-bank buying across emerging markets.
When global confidence in fiat currencies wavers, investors tend to seek stability – and gold continues to be the universal benchmark for wealth preservation.
- A weaker dollar: As the dollar loses strength, dollar-denominated commodities like gold become more affordable for investors using other currencies, pushing demand higher.
- Government instability: With ongoing fiscal gridlock and fears of a prolonged shutdown in the United States, investors have turned to gold as protection against potential market volatility.
- Central bank accumulation: From China to Turkey, national reserves are being quietly diversified away from the dollar and into gold – reinforcing its long-term strategic value.
How It Affects South African Investors
For South Africans, this rally brings both opportunity and caution.
A stronger rand can temper the immediate local price of gold, but the long-term fundamentals remain positive – especially for those holding physical gold, Krugerrands, or medallions as part of a diversified portfolio.
Investors looking to protect against currency swings and inflation should see this as a timely reminder: physical gold is not just a commodity, but an insurance policy against global uncertainty.
Finding Balance in Precious Metals
At Moon Investments, we believe in balance – combining the stability of gold with the growth potential of silver to create resilience across market cycles. As the world reacts to shifting monetary tides, holding tangible, enduring assets becomes more relevant than ever.
Explore our full range of gold coins and medallions — and discover how physical assets can bring long-term stability to your investment portfolio.
