Gold Tumbles to Lowest Since May 2011 After Entering Bear Market
Gold slumped to the lowest price in almost two years, extending a decline after entering into a bear market, as investors reduced asset holdings. Silver dropped to the lowest since November 2010.
Gold for immediate delivery declined as much as 0.3 percent to $1,478.20 an ounce, the cheapest since May 2011, and was at $1,487.05 by 7:31 a.m. in Singapore. Prices fell to $1,483 on April 12, down 22 percent from a record close of $1,900.23 in September 2011, meeting the common definition of a bear market.
Holdings in exchange-traded products backed by bullion declined to 2,406.16 metric tons on April 12, the lowest since August, according to data compiled by Bloomberg. Bullion has plunged 11 percent in 2013, after 12 straight annual gains, as the global economy improved. Gold for June delivery dropped as much as 1.6 percent to $1,477 an ounce on the Comex in New York.
Cash silver dropped as much as 0.5 percent to $25.89 an ounce, the lowest since November 2010, and was at $25.925. Spot platinum fell as much as 0.8 percent to $1,475.50 an ounce, the lowest since August. Palladium slumped as much as 0.9 percent to $700.95 an ounce, the lowest since Jan. 14.
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