Gold prices sink as worries over Europe that drove prices up last week dissipate

Gold prices are taking a hard fall as the worries that drove prices up last week dissipate and investors push the stock market up.

Gold for August delivery sank $30.70, or 2 percent, to settle at $1,306.70 an ounce Monday. Silver for September dropped 55 cents, or nearly 3 percent, to $20.91 an ounce.

The sharp fall for gold wiped out its gains for the month. Last week, concerns over the stability of European banks sent gold prices up and weighed on stocks.

On Monday, however, those worries had eased and traders pulled out of precious metals and into stocks.

In other trading, wheat and soybeans rose. Crude oil edged up 8 cents to end at $100.91 a barrel on the New York Mercantile Exchange.