ECB says Eurozone banks face $283 bln in write downs

Bad loans and securities positions could total $650 bln over the 2007/ 2010 period.

Risks to financial stability have fallen over the last 6 months, the ECB report says though the credit cycle has not yet troughed. The headlines come from the ECB’s quarterly financial stability report.

EUR/USD is being hit by the news, testing 1.3800 support.