Markets are quieting down ahead of the holidays and in the wake of one of the wilder weeks of one of the wilder years on record. EUR/JPY has been trapped in a 124/126 range on Monday as it returned to its role of risk barometer earlier today. Asian stocks rallied overnight, boosted by the auto bailout (if wire reports are to be believed). Early US stock weakness helped to weigh on the cross slightly, knocking it down to 125.00 before a bounce.
EUR/USD is running into offers just above the 1.4000 level but losses are very moderate, only to the 1.3965 level.