Gold market poised for further gains in 2026, but South Africa unlikely to fully benefit

GLOBAL markets are pricing in a continued rally in gold next year, although geopolitical uncertainty could inject volatility into bullion prices, according to the World Gold Council (WGC).

- TAWANDA KAROMBO

The World Gold Council's analysts noted that the forces of softer growth, accommodative policy, and persistent geopolitical risks are more likely to support gold than to undermine it.

(REUTERS)

The rally in gold prices this year has provided South African bullion miners - among them Sibanye-Stillwater, Pan African Resources and Gold Fields - with prospects of bumping up revenues. However, for South African miners, a rise in costs has negated robust growth of production.

Data from the South Africa Reserve Bank showed the country’s net gold exports in the third quarter 2025 slowing down from R150 billion in the same period last year to R149bn.

Some South African gold producers are now planning production ramp ups which places them in position to benefit from the expected continued rally in gold prices in 2026.

Gold prices traded above $4 200 this week. The WGC said on Thursday that “after setting more than 50 all-time highs and edging over 60% by the end of November, gold has emerged as one of the strongest performing assets” in 2025.

This year's gold price rally is gearing up to be the precious metal’s fourth strongest annual return since 1971.