The U.S. dollar finished the day the strongest it has this year against the euro, as investors continue to abandon precious metals and other commodities. It was the fourth straight session drop for the metal, which plunged by $5 to finish at $803.20 for December delivery on the NYMEX. Earlier in the day it fell as low as $798.10.
With the U.S. dollar strengthening lately, traders have been abandoning commodities as an inflation hedge and moving their funds elsewhere.
"The short-term direction in gold remains pointed to lower levels, and selling could intensify if $790 is breached this week," Jon Nadler, analyst with Kitco Bullion Dealers Montreal, said in a note.
Silver also dropped today, as well as copper, although silver only fell by less than a penny to $12.94 an ounce. Copper ended the session at $3.266 a pound, shedding 4.6 cents.
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