Gold prices inclined though the U.S dollar strengthened with concerns bouncing back to market at early morning and positive economic data that was released from Euro Zone today, as debt crisis worries over Europe forced investors to avoid higher-yielding assets such as Euro, Sterling Pound and stocks and boosted appeal for safe havens.
Now, eyes will be spotted on this year, and the performance of the European economy, especially after the ECB lent the European banks huge amount of money, so we expect that money should help the euro zone the pick up the recovery process amid ongoing challenges.
Accordingly, we should expect more fluctuations for gold, but should the current pessimism persist, we should expect gold prices to extend the rallies, however, the level of uncertainty is very high, so investors are ought to remain cautious.
Originally posted here
