Gold Falls As Greek Debt Crisis Back In Spotlight

Published February 6, 2012 8:18PM (EST)

Gold prices are falling as the Greek debt crisis returns to the spotlight. That's renewing concerns about the potential impact that Europe's financial troubles may have on the global economy.

Gold fell nearly 1 percent Monday to settle at $1,724.90 an ounce.

France and Germany are warning Greece's leaders that they need to approve new reforms or risk bankruptcy. Greece could default on a bond repayment next month without another installment of bailout loans.

Separately, the International Monetary Fund says a sharp downturn in Europe could cut China's economic growth rate nearly in half. China, the world's second-largest economy, is a huge importer of commodities.

In other trading, copper, oil and corn are lower. Silver, other energy products and wheat are higher.

By Salon Staff

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