Gold fell to the lowest price in more than two months, erasing this year’s gains, on speculation that the U.S. economy will rebound, eroding the precious metal’s appeal as an alternative investment. Silver also declined. Investment in the SPDR Gold Trust, the biggest exchange- traded fund backed by bullion, fell for the first time in two weeks as a rally in equities curbed demand for a haven. Before today, the Standard & Poor’s 500 Index had rallied 23 percent since March 6 while gold dropped 4.8 percent. “People don’t think they need that flight-to-quality buying and that’s putting gold into the background,” said Stephen Platt, a commodity analyst at Archer Financial Services Inc. in Chicago. “There’s some reallocation of assets moving from gold into equities.” Gold futures for June delivery fell $19.10, or 2.1 percent, to $878.20 an ounce at 9:10 a.m. on the Comex division of the New York Mercantile Exchange. The price earlier reached $875.10, the lowest for a most-active contract since Jan. 23. Silver futures for May delivery declined 43.5 cents, or 3.4 percent, to $12.30 an ounce. Before today, silver had gained 13 percent this year.

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