Gold Drops Again; Dollar Gains Vs Euro

Gold prices were plunging Wednesday as the dollar continued to rally and oil prices fell back on continued worries that the government will start cracking down on inflation.

Benchmark bullion futures were shedding $23.30 at $925.20 an ounce in recent action on the Comex division of the New York Mercantile Exchange.

Tough talk about inflation from government officials earlier in the week were still causing traders and investors to shun the broader materials complex. "The hawkish comments didn't sit well with any commodity," says Jon Nadler, a gold analyst at Montreal-based bullion dealer Kitco. "This verbal intervention is working." ...