Gold ETFs were flat Monday after Greece’s pro-bailout party prevailed in the weekend elections. However, precious metals could be volatile this week on lingering concerns over Spanish sovereign debt and as the Federal Reserve’s policy-setting committee meets.

“For Europe, this should be a relief as it avoids an immediate crisis,” said JP Morgan Funds chief global strategist David Kelly on the Greek elections. “The challenge for Europe’s leaders, which they will need to address at the European Council meeting on June 28th and 29th, is to be bold enough to embrace short-term stimulus to restart their economies, while laying out a path of long-term budget discipline to deal with their still-growing debt.”

In gold ETFs, SPDR Gold Shares (NYSEArca: GLD) was unchanged in morning trade Monday.

The ETF could see action pick up later this week on speculation the Fed will announce more stimulus. Markets will get the Fed announcement on interest rates and the economy on Wednesday, followed by a press conference with Ben Bernanke.

“Gold seems to be waiting for the Fed meeting on Wednesday. It is more sensitive to central bank action than to variations in risk appetite,” said BNP Paribas analyst Anne-Laure Tremblay in a Reuters report.

JP Morgan’s Kelly said European debt fears should not on their own justify further Fed easing.

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