Gold sinks as Brexit poll favouring 'remain' weakens haven appeal

[SINGAPORE] Gold tumbled as a poll showed a tilt in favor of Britain remaining in the European Union just days before a historic vote, hurting demand for haven investments.

Bullion for immediate delivery fell as much as 1.1 per cent to US$1,284.91 an ounce before trading at US$1,286.43 at 9.11am in Singapore, according to Bloomberg generic pricing. That pared this year's gain to 21 per cent.

Gold has benefited in the past three weeks amid concern that Britain's voters may opt to leave the EU in the June 23 vote, with bullion rising to the highest level in almost two years.

The poll from Survation for the Mail on Sunday newspaper showed 45 per cent of people backed the "Remain" camp, while 42 per cent supported "Leave."

Last week's death of pro-Europe British lawmaker Jo Cox spurred a marked reduction in bets on a Brexit win.

BLOOMBERG