
Gold fell in New York, capping a second straight weekly loss, as China moves to combat inflation and demand growth slow erosion of precious metals and commodities.
China ordered banks to set the largest reserves set aside for the second time in two weeks. The country is the largest gold consumer after India. The Thompson Reuters / Jefferies CRB Index of 19 commodities fell to 1.4 percent. Gold has fallen 5.1 percent from a record $ 1424.30 an ounce on November 09.
"Any effort to squeeze by China will be interpreted by the market as an event of the reduction of inflation, which would have a little shine of gold," said Adam Klopfenstein, senior...