| Gold has dropped to its lowest level in five years, weighed down by a rising US dollar and profit taking. Bullion rallied to almost $1,100 an ounce on Monday after the terrorist attacks on Paris triggered some buying by nervous investors. However, those gains quickly faded, writes Neil Hume.
As the US currency strengthened, spot gold was down $13 to $1,068 on Tuesday, its lowest level since February 2010. It has fallen 10 per cent this year. Gold is struggling to hold gains because of expectations that the US Federal Reserve will raise interest rates before the end of the year. Those expectations in turn are pushing up the US dollar...............................................Full Article: Source
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