With high expectations that the incoming Obama presidency will lay out a new sweeping aid package along with a round of tax cuts to help jump start the US economy, risk aversion seems to have fled the markets, at least for now. The high expectations for the new administration have pushed the US and Japanese equities on the right path so far this year. The trade day in Asia seemed to bring about a bit of normalcy again to the markets as trading seemed a bit more orderly and subdued as opposed to many days in 2008. EUR/USD made a jump higher on the open and peaked out at 1.3941 before dropping a whole big figure to 1.3841. The pair did level off near the 1.3890's as the session waned. EUR/JPY enjoyed a nice ride as well, climbing to early 128.55 highs before slipping down the slope to lows near 127.35, and subsequently exiting the Asia session near 127.90. Euro Zone GDP is later this week on Thursday, a number to be aware of.

USD/JPY followed a relatively straight path today, opening a bit lower, just below 91.90, and closed out the day, just near 91.90 in a 24 pip range all session. Down Under, the Australian Dollar enjoyed a boost in commodities as it hit a three month high against the US Dollar, opening 20 plus pips higher at 0.7115, and hitting that high of 0.7163 before entering the European session close to 0.7140.