Gold futures fell Monday for the first session in three, moving below $940 an ounce as investors sold the metal to cover their losses in other markets and as a rising dollar weighed on prices. Asian and European stock markets tumbled Monday, while U.S. futures also indicated shares will fall on Wall Street. The dollar rose against most of its major rivals. Meanwhile, holdings in the largest gold exchange-traded fund fell for the first time in two months. "Given the likely need for cash due to equity market volatility, it is likely that gold will run into further pockets of long liquidation in the coming sessions," wrote James Moore, a precious metals analyst at TheBullionDesk.com. Gold for April delivery fell $6.40, or 0.7%, to $936.30 an ounce in early morning trading on the Comex division of the New York Mercantile Exchange. The contract had gained 4% in the previous two sessions, boosted by safe-haven buying amid growing evidence that troubles in the world economy were deepening. Despite Monday's loss, flight to safety could raise gold prices again, analysts said. "Given the continued weakness of equities investors may again look towards safe-haven asset types, particularly gold," wrote Moore. He expected the metal to set a new high above $1030 during the first half of the year. U.S. nonfarm payrolls shrank by 651,000 in February, the Labor Department reported Friday. The unemployment rate soared to 8.1%, the highest level since December 1983. Economists had expected job losses of 650,000 and an unemployment rate of 8%. The April contract has gained about 6% this year. In other metals trading Monday, March copper fell 3% to $1.6305 a pound. March silver slid 0.2% to $13.295 an ounce, while April platinum lost 0.8% to $1,070 an ounce and the March contract for palladium was flat at $203.50 an ounce. Gold holdings in SPDR Gold Shares the largest gold exchange-traded fund, fell 0.3 tons to 1,028.99 tons Friday, moving lower from the record high of $1029.99 tons, according to the latest data from the fund.

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