Gold prices inclined Markets were knocked down by concerns mounting over the 17-bloc euro nation’s debt crisis, as Fitch ratings fueled concerns saying Italy nears having its credit rating slashed. Now, Fitch will assign France and Spain under credit watch for possible downgrades until the month end.
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, and if that money will help the euro zone to continue recovery process amid big 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, and investors are ought to remain cautious.
Originally posted here
