Gold declines for fourth day s dollar strengthens

Eurozone crisis led to the dollar strengthening for ninth day against the six currency basket

Gold today declined for the fourth day here, as a stronger dollar curbed demand for bullion as an alternative investment.

Gold declined 0.2% to $1,591.20 an ounce, after falling to $1,578.50 yesterday, the lowest since January 3.

The US dollar gained for a ninth day against a six currency basket. Bullion has slumped 3.4% this week as Greek politicians struggled to form a government following weekend elections, boosting speculation that the country may quit the euro zone.

Greece's political impasse entered a fourth day, with coalition talks deadlocked, raising the possibility that another election will have to be held as early as next month.

 

Spain said it would take over Bankia SA and prepared to inject public funds into the banking group with the most Spanish real estate as part of government efforts to bolster confidence in the country's lenders.