Gold Below $800 for First Time - Silver Hit Even Harder

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Silver, which normally tracks gold, was the hardest hit, falling more than 11 percent to its lowest since last September. Platinum slipped more than 2 percent and palladium 3 percent to its weakest in nearly two years.

Gold tumbled nearly 3 percent on Friday and slipped below $800 for the first time since December 2007 as investors fled precious metals, with their confidence shattered by falling oil prices and a surging U.S. dollar.

Silver, which normally tracks gold, was the hardest hit, falling more than 11 percent to its lowest since last September. Platinum slipped more than 2 percent and palladium 3 percent to its weakest in nearly two years.

Spot gold hit an intraday low of $788.50, its weakest since mid-December, before bouncing to $796.20/797.60 an ounce, still down from $811.25/812.65 late in New York on Thursday and well below an all time high of $1,030.80 hit in March.

"It's still early to say it's the end of the super-cycle but if the markets continue to fall like they are doing now, I am sure many people will be talking about it very soon," said Adrian Koh, analyst at Phillip Futures in Singapore.

"The region around $750 is very important because this is a long-term gold uptrend support. So, if it's broken, gold's really gone," he said.

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