FXstreet.com (Barcelona) - Asian stock markets continued posting moderate losses on Tuesday after Monday's sell-off amid serious concerns about the global economic slowdown and the financial system

Tokyo Nikkei 225 has declined 0.5%, while Australian S&P Index fell a further 1.2% on Tuesday, following Monday's decline, which left the index at levels of 2003. Hong Kong's Hang Seng Index fell another 1.2% driven by the slump HSBC Bank.

Modest gains for EUR and GBP; USD/JPY in range

EUR/USD has pared losses posted early on Monday and the pair has returned to levels above yesterday's high at 1.2620, from 1.2537 session low. At the moment the EUR/USD is testing resistance level at 1.2660 (Feb 26 low) on its way to 1.2700.

GBP/USD has bounced back at 1.3955 after yesterday's sell-of; the and the pair has bounced at 1.3955, raising to levels between 1.4090 and 1.4135. The USD/JPY continues trading in the same range as yesterday, from 97.00 to 97.75.

The AUD/USD has been one of the major movers on Asian session, the pair has rallied almost 200 pips after the Reserve Bank of Australia decided to maintain rates unchanged at 3.25%. The Aud has rallied from a session low at 0.6286 to a high of 0.6425 so far.