国际英语新闻：Gold tumbles on profit-taking, stronger dollar

CHICAGO, Nov. 10 (Xinhua) -- Gold futures on the COMEX Division of the New York Mercantile Exchange on Wednesday tumbled, as a large number of investors cashed their gold holding and dollar gained strength against euro.

The most active gold contract for December delivery fell 10.8 dollars, or 0.77 percent, to finish at 1399.3 dollars per ounce.

A gold trader noted that the price of gold was not cheap, so it' s not surprising that some investors sold off their gold holding on high price. Before Wednesday, gold climbed 29 percent this year, topping 1,400 dollars mark on Monday and reaching a record 1,424.3 on Tuesday, on concerns that the Fed's stimulus plan would pare the value of the dollar.

Moreover, consecutive hikes in dollar against euro also helped push down the gold price. Dollar on Wednesday strengthened to the highest level in a month against the euro on concern that governments in Europe may struggle to pay debt, which has eroded the metal's appeal as an alternative asset.

Silver slumped seven percent Wednesday on tighter margin requirements. COMEX Division of the New York Mercantile Exchange Tuesday raised margin requirements for trading silver to 6,500 dollars per contract from 5,000 dollars.

A senior market strategist at Chicago noted that when the exchange raises margin requirements, the nimble traders are going to try to dump and buy at a lower price.

December silver shed 2.041 dollars, or seven percent, to 26.865 dollars. January platinum also dropped 71.7 dollars, or four percent, to 1,737.9 dollars per ounce.