This is Money & Reuters 
Friday, Nov 27th, 2009
The price of gold tumbled nearly 5% today – its biggest one-day fall in a year – amid a widespread sell-off of assets due to Dubai debt concerns.
Torried trading in Asia, which saw shares in Japan plunge 4% and Hong Kong’s Hang Seng index fall 5%, saw commodities come under pressure. The price of oil was down 5%.
Bullion, which hit a new record of $1,195 an ounce yesterday, slumped from around $1,192 at midnight to $1,138 within a couple of hours. By 9.20am, it had recovered to $1,158. Silver, at its worst, was down about 5% while platinum fell 2%.
Dubai is burdened by £49bn of debts, while government investment company Dubai World is hobbled by £36bn of liabilities. Fears are growing that the City state’s economy may buckle under the weight of these debts, most of which is owed to global banks.
“When the people find they can vote themselves money, that will herald the end of the republic.” – Fall Of The Republic – Buy the DVD here