Speculators launched an unprecedented attack on the gold price yesterday, driving the gold price under $1,100 for the first time in 5 years.

The gold price fell over 4% during Sunday evening after an anonymous traders sold 57 tonnes of gold simultaneously in New York and Shanghai. The traders were executed at the most illiquid time of the day in what appears to be a premediated move to smash both the price and investor confidence.

7,600 contracts or 24 tonnes of paper gold was sold in New York during a two minute period late on Sunday night. At the same time a further 33 tonnes were sold in Shanghai. A combined total of 57 tonnes is extraordinary in such a relatively small market.

The take down occurred early in the morning when the Japanese market was closed for a public holiday. The gold price then regained some lost ground as traders took advantage of the chance to make some short term profits.