Policy: Economy

Gold prices sink as tensions ease over Ukraine

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News,Business,Economy,Ukraine

Gold prices slid Tuesday on expectations that a dispute between Russia and Western countries will ease.

The actively traded April contract for gold fell $13.90, or 1 percent, to settle at $1,359 an ounce.

Russian President Vladimir Putin told the Russian Parliament not to believe speculation that Russia will look to take over other areas of Ukraine. On Sunday, a majority of voters in Ukraine's region of Crimea voted to break from that country and join Russia. The dispute had helped push the price of gold up this month as traders shifted money out of other markets.

"The Ukraine situation hit gold today," said Edward Meir, a senior commodity consultant at INTL FCStone. "Putin said he's not going to stir anything up, and gold fell on the back of those remarks."

Other metals also traded lower. Silver for delivery in May lost 41 cents, or 2 percent, to $20.86 an ounce.

Copper for May slipped less than a penny to $2.95 a pound.

April platinum fell $6.70 to $1,461.70 an ounce and June palladium fell $5.00 to $771.40 an ounce.

In other trading, wheat for May jumped 18 cents, or 3 percent, to $6.93 a bushel. Corn for delivery in the same month rose 7 cents to $4.86 a bushel. Soybeans for May rose 27 cents to $14.18 a bushel.

In the market for oil and gas, crude oil rose $1.62 to close at $99.70 a barrel.

Heating oil rose 2 cents to $2.92 a gallon, and wholesale gasoline rose 2 cents to $2.90 a gallon.

Natural gas fell 8 cents to $4.46 per 1,000 cubic feet.

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