Gold plunges amid equity rally

Gold futures for February delivery fell $40.10, or 2.8%, to $1,382.80 on the Comex in New York yesterday as investors flocked to equities on the back of improving economic credentials, reports Bloomberg. Strong manufacturing data from the US and Europe has led to a rally in global stock markets in the early part of the year. The upbeat economic data also led to the dollar rising against the yen. Gold, traditionally seen as a safe-haven, reached a record $1,432.50 an ounce on December 7 2010 - a year which saw the precious metal surge amid volatile economic conditions. But gold coul...