Risk aversion has faded over the last.........>

FOREX: Risk aversion has faded over the last couple of hours with the USD

trading mixed against the majors & JPY unwinding its early gains. Worries over

Italy continue to circle, with little in the way of fresh fundamental catalysts

apparent in the Asia-Pacific session thus far.

- USDJPY printed a low of 108.35, failing to threaten Tuesday's low, with the

cross last dealing at 108.70, virtually unchanged on the day, while EURJPY

bottomed at 125.00, once again well above Tuesday's low' last 125.40.

- EURUSD has stuck to a tight range, dealing at 1.1540 last, with the same

holding true for cable, last 1.3260

- The Antipodeans have shaken off their early weakness. AUDUSD last0.7500,

NZDUSD last 0.6910. This comes after the RBNZ RBNZ noted that MonPol is not

expected to tighten for some time and that further LVR easing is unlikely until

at least the next FSR release.