Reuters reported that fears European countries will be downgraded caused gold prices to fall.

As quoted in the market news:

Spot gold fell 0.9 percent to $1,705.70 an ounce by 1509 GMT, extending a 1.4 percent drop in the previous session. It earlier fell to its lowest level in nearly a week at $1,703.79 an ounce.

Click here to read the full Reuters report.