Gold Prices Declined Following Oil Crude Prices

Gold prices fell in Asia as a decline in oil prices reduced the precious metal's appeal to investors as an inflation hedge.

Gold for immediate delivery fell as much as $3.77, or 0.6 percent, to $671.23 an ounce and traded at $671.60 an ounce at 10:46 a.m. Singapore time. In Japan, gold for delivery in February 2008 added 1 yen to 2,600 yen a gram ($677) on the Tokyo Commodity Exchange at the close of the morning session.

The U.S. currency last week rebounded from a two-year low against the euro as a report showed employers added more workers than forecast in March, reducing speculation the Federal Reserve will cut borrowing costs in the third quarter.

Crude oil for May delivery declined 43 cents, or 0.7 percent, to $63.85 a barrel in after-hours electronic trading on the New York Mercantile Exchange at 10:49 a.m. in Singapore.