By FX Empire.com
Gold prices rose on Monday, amid rising concerns over the European debt crisis, as investors are focused on Italy and Greece, where the political instability in the nation is stalling the reform which is forcing the nation to remain vulnerable to speculation and market pressure which already sent its borrowing costs to record. The G20 leaders pressed Silvio Berlusconi to act quickly as he agreed to allow the monitoring of EU and IMF to the reforms to ensure their swift implementations.
The focus remains on Europe and the ongoing crisis as the finance ministers meet in Brussels and their decisions undermined by the ongoing uncertainty in Greece and now Italy.
Nonetheless, traders targeted gold as a safe haven amid the huge uncertainty that is surrounding the outlook for the European debt crisis, where the appeal of gold as a safe haven seems to have returned over the course of this week.
Traders will continue to monitor the developments from Europe regarding the debt crisis, especially amid the lack of major economic data from the United States, but overall, we expect gold prices to extend their rally over the coming period.
Originally posted here
