NEW YORK: Gold and silver slumped to their lowest since 2010 on Friday as the dollar surged against the yen and other major currencies after the Bank of Japan shocked global financial markets by expanding its massive stimulus spending.

Spot gold broke below $1,180 an ounce, a level bullion had held twice during its last two major sell-offs in June and December last year. It also briefly held the mark earlier this month until Friday’s drop.

“The main reason for gold’s fall is the strength in the dollar after the BOJ’s desperate efforts to weaken the yen,” said Jeffrey Sica, president and chief investment officer at Sica Wealth Management, which oversees $1 billion in client assets.

Published in Dawn, November 1st, 2014