Amid concern that the economically battered island nation of Cyprus will sell off excess reserves in order to finance a $13 billion international bailout, gold entered a bear market Monday for the first time in more than a decade.
Hitting its lowest level since March 2011, gold plummeted 9 percent Monday below $1,400 per ounce. The gold drop was preceded by a 5 percent plunge on Friday. The precious metal is down nearly 28 percent from its all-time high of nearly $1,900 last year.
Though the gold price drop has caused panic among some, gold loan player Muthoot Finance downplayed the plunge as having minimal impact on the long-term value of gold.