Sept. 12 (Bloomberg) -- Gold declined in New York as some investors sold the metal to cover losses in equities that dropped on concerns that the European debt crisis is worsening.
European and Asian stocks slumped on speculation German Chancellor Angela Merkel is preparing for a Greek default. The dollar was little changed after earlier today climbing to the highest level in more than six months against six major currencies. Gold touched an all-time high $1,923.70 an ounce on Sept. 6 and today set records priced in euros and Swiss francs.
“The margin clerks will be sharpening their knives today and will take dead aim even upon gold if that is where they think they can find liquidity,” Dennis Gartman, an economist and the editor of the Suffolk, Virginia-based Gartman Letter, said in his daily report. Some investors “will argue that gold will prove valuable and will hold its value even as stock prices plunge, and in the long run they may well be right.”
Gold for December delivery fell $16.70, or 0.9 percent, to $1,842.80 an ounce by 8 a.m. on the Comex in New York. Immediate-delivery gold was 0.9 percent lower at $1,839.68 in London. ............(more)
The complete piece is at:
http://www.businessweek.com/news/2011-09-12/gold-drops-in-new-york-as-investors-sell-to-cover-stock-losses.html