Indiana Grain Company, LLC

Posted: 12/29/11

By: tomgrisafi

Have the bears come for the gold to wind down 2011?

As Bloomberg reported late Thursday, Gold has now posted the longest slump since March 2009 as gains in the dollar eviscerated demand for precious metals as alternative assets.

The dollar climbed as much as 0.6 percent today against the euro as an auction of Italian bonds fell short of the government’s target.

Gold is now down 12 percent in December and is quickly heading for the biggest monthly drop since October 2008.

Gold futures for February delivery close at $1,540.90 an ounce at 1:38 p.m. on the Comex in New York. The metal fell for a sixth straight session.

Bloomberg's report noted that today’s settlement leaves prices down 19 percent from a record close of $1,891.90 reached on Aug. 22, about 1 percentage point shy of a bear market.

Source: Bloomberg

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