Weak China demand and stronger dollar drive down gold price

London

GOLD prices hit multi-year low points last week, hit by a stronger dollar and weak Chinese demand.

With prices of metals generally weak, mining groups Anglo American and Lonmin on Friday announced plans to cut their headcounts by up to a combined 12,000 staff.

Gold slumped to the lowest point in nearly five and a half years, weighed down by the strong dollar and reports of massive selling in China, dealers said.

The metal struck US$1,072.35 an ounce on Monday - the lowest level since February 2010.

Sister metal silver hit a six-year trough at US$14.37 an ounce and platinum reached the lowest level in more than six years to US$946.25 an ounce.

The precious metal failed to benefit fr…