Risk aversion returned today with events such as the US bank stress tests, the ECB meeting and the Czech vote on the Lisbon treaty all weighing. EUR/JPY was the most heavily traded pair, falling from 131.80 early in the session to lows around 129.80. Stops below 131.20 were particularly heavy and the market gapped sharply lower, reminding many traders of how severely this pair can fall at times. USD/JPY also gapped lower from 98.70 to 98.40 and has been unable to claw back any ground.

The Shanghai bourse was up almost 1%, HK gained 0.25% but both Sydney and Seoul fell by 0.5%. Crude was unchanged at $54/bbl and gold fell $3 to $901/oz.

Orders close by: Buying in EUR/CHF 1.5050/70; Buying in EUR/GBP .8780/00; Stops in EUR/JPY below 129.50.

Ranges: EUR/USD 1.3247/1.3320; Cable 1.4992/1.5079; AUD/USD .7338/.7417; USD/JPY 97.95/98.95; EUR/JPY 129.83/131.81.