HONG KONG, Nov. 27 (AFP) – Asian shares were slammed Friday on global investor alarm about the potential for a widespread default, following Dubai's shock demand to suspend the debt of a key state company.

Gold on Friday fell back to 1,179.00 dollars an ounce in Asia after soaring to a record high of 1,195.13 dollars Thursday, following a purchase from the IMF of the precious metal by Sri Lanka's central bank.

Tokyo plunged 3.22 percent, Seoul slumped 4.69 percent and Sydney staged its biggest one-day fall in five months to close 2.90 percent lower.

Oil prices sank to near $74 a barrel Friday in Asia as investors curtailed their risky bets on commodities amid uncertainty about the global fallout from Dubai's financial troubles.

Benchmark crude for January delivery was down $3.50 to $74.46 at early afternoon Bangkok time in electronic trading on the New York Mercantile Exchange, extending losses from European trade. Trading in the US was closed Thursday for the Thanksgiving holiday