The NZD was the first mover of the day, falling sharply on poor retail sales data and this dragged the AUD lower with it. Risk trades have fallen with the AUD losing ground against all the majors but particularly the CHF and the JPY. Ranges: AUD/USD .9320/51, AUD/JPY 77.55/78.20

USD/CHF fell sharply at one stage in early afternoon trade after the previous low at 1.0060 and a barrier option at 1.0050 were breached, triggering stop-loss selling. More barriers seen at 1.0000. Ranges: USD/CHF 1.0115/97, EUR/CHF 1.2899/1.2985

Cable fell in early trade as the poor house price data overshadowed the improved consumer sentiment. Risk-trade selling also impacted but cable has gradually recovered back to its opening level. Ranges: Cable 1.5377/1.5428, EUR/GBP .8343/65

USD/JPY has drifted lower throughout the session and has broken below the previous 83.35 low albeit with little follow through. The market is now in stand-by mode awaiting the challenge to PM Kan. Ranges: USD/JPY 83.26/75, EUR/JPY 106.99/107.84

EUR/USD has probably been the quietest of the majors, being tugged around by flows on the crosses. It ends the session unchanged after a 1.2845/82 range.

Markets: Nikkei -0.5%, Sydney +0.5%, Shanghai and Seoul flat, HK +0.2%. Gold $1251/oz, Oil $79/bbl.