New Delhi, May 4 -- Gold and silver erased their recent gains, plunging sharply on Monday, 4 May, as renewed tensions in the Middle East triggered a sharp rebound in crude oil prices, intensifying inflation concerns, while a stronger US dollar also weighed on precious metals.

COMEX gold futures dropped $134 per troy ounce to an intraday low of $4,681, marking the lowest level in a month.

The sharp correction has brought the yellow metal's year-to-date gains down to 4.50%, while from its yearly high, gold is now lower by 24.5%. Silver futures fell $4 to $72, erasing most of their recent gains.

Tensions in West Asia escalated after Iran's semi-official Fars news agency reported on Monday that two missiles had struck a US warship near the...