Gold News & Info

Source: MarketWatch

New York— Gold futures ended Monday's trading below $860 an ounce for the first time in more than a week as a rising U.S. dollar reduced the metal's investment appeal. Gold for February delivery closed down $21.70, or 2.5%, at $857.80 an ounce on the Comex division of the New York Mercantile Exchange, ending below $860 an ounce for the first time since Dec. 25. It dropped as far as $843.50 earlier.

The dollar rose against its major rivals to start the first full trading week of 2009, with the index up 1%. Greenback and gold prices tend to move in opposite directions. "Gold headed lower as the dollar surged," said analysts at Action Economics. Also, "gold prices will remain sensitive to movement in oil." The greenback rose despite "the lack of an obvious trigger," said Marc Chandler, a currency strategist at Brown Brothers Harriman. The magnitude of the gain was unexpected, he said. See full story.