Gold prices broke below $1,400 Monday, their lowest level since March 2011. "Here we are under [$1,400]," Gartman observed. "Who would have thought it? Not I."
"I think it would be unfair to force the Cypriots to sell [gold] and not to have others do exactly the same thing," he argued. "I expect Spain and Portugal, Italy will also be rumored to do it, and that's weighing on prices."
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Gold mining shares around the world were battered, with shares of Australian-listed Kingsgate Consolidated, a gold producer and exploration company, and miner Beadell Resources plunging 15 percent, while Newcrest Mining, which operates gold and copper mines, tumbled more than 8 percent.
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Gold producers in China and the U.K. also fell sharply. Shanghai-listed Zhongjin Gold fell 6.5 percent, while Zhaojin Mining tumbled more than 9 percent in Hong Kong. In the U.K., Randgold Resources fell 7.2 percent, while Lonmin and Kazakmys were both down over 6 percent.
Analysts at Citigroup also sounded a bearish tone on Monday, pointing out in a note that the firm now had a "sell" rating on all U.K. silver and gold miners, except one.