Dollar Up Sharply; Gold Falls

The dollar rose sharply against major foreign currencies Monday, spurred by a new slide in oil prices and a belief that Japan might act to support the currency, analysts said.

Gold prices fell sharply. Republic Bank of New York said that as of 4 p.m. EST gold bullion was quoted at $350.50 an ounce, down $5.75 from Friday’s close.

The dollar staged one of its the sharpest one-day advances of the past eight years, largely because of a new dip in oil prices which depressed other currencies.

Oil futures prices declined Monday after the Organization of Petroleum Exporting Countries adjourned its meeting in Geneva without gaining commitments from members for production cuts to help boost oil prices. The 13-nation cartel said it would resume meetings on April 15.

The collapse of the OPEC talks hurt the British pound, which had strengthened to 2 1/2 year highs against the dollar last week as traders speculated that OPEC might agree on a plan to boost oil prices. Britain is the world’s fifth-largest oil producer.