Gold Slumps to Lowest Settlement Price in Seven Weeks After Euro Rallies

By Tony C. Dreibus and Pham-Duy Nguyen - Jan 14, 2011 11:46 AM PT
inShare.2More

Gold fell in New York to the lowest settlement price in seven weeks on speculation that European Union leaders will stabilize the region’s economy, eroding the appeal of the metal as a haven.

The euro was headed for the biggest weekly gain against the dollar since May 2009. German Chancellor Angela Merkel said this week she would do “whatever is needed to support the euro.â€