The problems with the Euro most agree will not be solved soon, but will take months if not years. Greece at less than 3% of Euro GDP is a drop in the bucket compared to Spain (12%) or France (21%). This could be the beginning of the end for the Euro. Near term as I've been saying, we'll see a bounce in the Euro/ pullback in Dollar...but longer term the Euro has quite a drop if things fall apart. 135/136 has presented support, there maybe a bounce to 139/140, the next support is around 125.
Since 2003 the $SPX & $XEU have risen and fallen together. A rise in the Euro often tells us that a rise in the stock market is coming. Similarly, falls in the Euro is bearish for US stocks. But if you measure gold in euros, it has broken out to all-time highs and now costs more than €800 an ounce.
One has to think of gold not as a commodity but as another currency. Given the financial stresses in the eurozone, is it any wonder that gold has been rising against the Euro? Most traders think of the price of gold in US dollars...gold is a global currency and is relative as to what you buy it in. Whether you live in Europe or the U.S., gold is your hedge against the fiscal irresponsibility of your own government