Precious metals crash triggers South African stock market plunge as mining giants enter "free fall" mode

Glonghui, February 2nd｜The South African stock market recorded its largest drop since March 2020, plunging alongside the rapidly declining precious metals prices. On Monday, the Johannesburg Stock Exchange All Share Index once fell by 6.1%, with the precious metals and mining sub-indices leading the decline. Mining giants such as Sibanye-Stillwater, Gold Fields, and AngloGold Ashanti all saw drops of no less than 17%. After just ending an 11-month record rally, South African stocks are now being engulfed by a wave of precious metals sell-offs. Gold prices, which reached a high of nearly $5,600 in January, plummeted by 10% on Monday, briefly retreating to around $4,400 per ounce. Following a record 26% drop last Friday, silver prices plunged again by as much as 16% on Monday.