The Wall Street Journal quoted Mr Cees Bruggeman chief economist at First National Bank as saying that the recent decline in precious metal prices in the face of a global slowdown is going to hit South Africa's export revenue but that damage could be offset by the declining oil price, although falling rand strength could cause complications.
South Africa is one of the world's major exporters of gold, platinum, coal, diamonds, aluminum, iron and steel.
Mr Graham Birch MD of BlackRock Investment Management said that the global financial crisis had pushed mining stocks such as BHP Billiton and Anglo American down too far. He added that "The metal should continue to benefit from investor safe haven demand."
Prices of metals such as copper, tin, platinum, palladium and silver have slipped sharply as investors were worried that slowing economic growth would affect consumption.
