Gold Reaches Record High In South African Rand Terms

Gold is far away from a new record high in U.S. dollar terms, but a weakening rand has made for a record in South African terms.

The rand gold price hit its peak on Friday despite the international price falling back under $1500/oz at the weekend. The rand price was boosted by a strengthening dollar, taking the exchange rate to over R7/$ yesterday.

Gold’s previous peak in local currency terms was in 2009 when an exchange rate of worse than R10/$1 translated an international gold price of $994/oz into R321357/kg.

Despite that record, welcomed by South African gold producers and the stock market, some local investors remain wary.