(Reuters) - Gold prices slipped in Europe on Monday, extending the previous session's 2 percent price drop, as concerns over the progress of talks on a Greek bailout weighed on the euro and on assets seen as higher risk such as stocks and commodities.

Spot gold was down 0.5 percent at $1,717.90 an ounce at 5:19 a.m. ET, while U.S. gold futures for February delivery were down $19.20 an ounce at $1,721.20.

The euro fell as Greek politicians struggled to agree on austerity measures needed to secure a new bailout for the debt-laden nation, keeping alive the risk of a messy default that could hurt the euro zone.

[...]