Daily Gold Update

Source: MarketWatch

New York— Gold futures fell for a third session Monday, dropping to the lowest level in more than a week as government agreements reached in Europe and the U.S. to support the banking sector served to dampen safe-haven demand. U.S. stocks took their cue from equity rallies overseas, as the global rescue plans restored some confidence among investors. Underscoring this, crude-oil futures rose for the first time in four days. Gold for December delivery fell $29.50, or 3.4%, to $829.50 an ounce on the Comex division of the New York Mercantile Exchange, the lowest since Oct. 3.

Gold had been rallying recently as investors sought safety amid the global financial turmoil. It surged all the way to $936.30 on Friday, the highest intraday level since July 28, before closing lower in a dramatic reversal. Still, benchmark gold ended up 3.1% on the week. Analysts have been anticipating that gold prices will remain volatile as investors watched the global efforts to rescue the ailing financial industry. See full story.