By Kim Kyoungwha Oct. 19 (Bloomberg) -- Gold fell, extending its decline from a record last week, as a rising dollar and falling equities weighed on investor confidence. The Dollar Index, a six-currency gauge of the greenback’s strength, climbed for a second day amid weaker Asian equity markets and on speculation European finance ministers will discuss gains by the euro at a meeting today. Oil also declined as the stronger dollar reduced the investment appeal of physical assets investors have been buying as a hedge against inflation. “The whole market is expecting to see some consolidation first before another round of buying could come back” into gold, said Kate Harada, a senior trader with Mitsubishi Corp. Futures & Securities Ltd. in Tokyo. Gold for immediate delivery fell as much as 0.5 percent to $1,048.38 an ounce and traded at $1,049.78 at 9:28 a.m. in Singapore. The Dollar Index advanced 0.3 percent to 75.82. Gold prices, which have risen on an annual basis for eight straight years, touched a record $1,070.80 an ounce on Oct. 14. The metal jumped 19 percent this year as a weaker dollar and rising government debt spurred inflation concerns. Bullion prices were expected to fall this week by nine of 16 traders, investors and analysts surveyed by Bloomberg on Oct. 15. Five forecast higher prices and two were neutral. Among other precious metals, silver fell 0.8 percent to $17.33 an ounce, platinum eased 0.2 percent to $1,340.25 an ounce and palladium gained 0.2 percent to $329.75 an ounce. To contact the reporter on this story: Kyoungwha Kim in Singapore at Kkim19@bloomberg.net

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