The EUR appears to have taken modest losses in yesterday's trading. Starting with a high near 1.3775 versus the USD, the 16-nation single currency is now trading near the 1.3690 price level. The Euro has also taken similar losses against the Swiss Franc, and currently trades at 1.4505, down from 1.4550.

With a sharp reduction in domestic and foreign investment in the United States, and a decline in the US stock market, the USD and JPY appear to have made more than moderate gains against most of their rivals, and the EUR may be on the short end of the market as a result. The sudden return of risk aversion has the Euro-Zone currency bearing the brunt of this sell-off.

Should today's releases of the ZEW Economic Sentiment reports come lower than forecasted, there is a strong chance the EUR will continue to face selling pressure, especially if the report from Germany, the Euro-Zone's largest economy, fails to meet expectations. In other news, however, the US Federal Reserve Board is due to release their decision on short-term interest rates and although no major changes are expected, there is typically a lot of pressure built into the opening of the American market prior to this event.