Daily Gold Update

Source: Marketwatch

New York— Gold futures finished the week 2.4% lower on Friday, slumping to their lowest level in a month, hit by concerns that China's moves to curb lending will dampen growth, reducing the precious metal's appeal as a hedge against weak currencies and inflation.Gold for February finished down $13.50, or 1.2%, at $1,089.70 an ounce. It earlier tapped a low of $1,081.90 an ounce in electronic trading on Globex.

A weak trend on Wall Street, where earnings from several banks failed to cheer investors, also contributed to the selling pressure. Commodities remained caught up in a broad asset sell-off amid concerns over China's move to curb lending. "With fear returning to markets and investors' minds after they had previously bought into the recovery story, most assets have been sold off sharply, including gold, helped by interest-rate-hike fears," said Martin Hennecke, associate director at Tyche Group Ltd. in Hong Kong. See full story.