LONDON: Gold fell on Monday as news that the US authorities have charged Goldman Sachs with fraud hurt commodities but lifted the dollar, though it recovered from two-week lows as some investors sought the metal as a haven.
Spot gold hit a two-week low of $1,123.15 and was bid at $1,134 an ounce at 1457 GMT, against $1,136.45 late in New York on Friday.
US gold futures for June delivery on the COMEX division of the New York Mercantile Exchange fell to $1,134.50 an ounce.
Other precious metals declined or traded flat in line with gold, with silver bid at $17.68 an ounce against $17.67.
Platinum was at $1,686.50 an ounce against $1,690, while palladium was at $527.50 against $528.50.
Risk aversion knocks copper: Risk aversion drove copper to a three-week low on Monday as investors fretted about the potential impact of fraud charges against Goldman Sachs, Wall Street’s most influential bank and a leading commodities player.
Copper for three months delivery on the London Metal Exchange touched a session low of $7,610.25, its weakest since March 29 and was at $7,700 a tonne by 1354 GMT, versus $7,763 on Friday, when it lost 2.3 percent.
Aluminium traded at $2,380 from $2,435, zinc was at $2,380 from $2,423 and lead was at $2,230 from $2,261. Tin traded at $18,751 from $19,200.
Traders were keeping an eye on a dominant position holding 50-80 percent of LME lead. The battery material, down nine percent year-to-date, is the worst performing base so far in 2010.
Stocks of lead in LME registered warehouses were at 179,950 tonnes, their highest since March 2003.
Nickel was at $26,400 from $26,705. Nickel has jumped more than 40 percent year-to-date, as falling stocks have triggered market tightness. reuters
