As Eddie pointed out earlier, part of the slump in EUR/USD to the 1.3270s at mid-morning was on a DJ headline on a repatriation tax holiday being proposed by Senators Hagan and McCain.
The goal is to lure US corporations into repatriating some or all of the $1.4 trln in profits being help overseas to avoid US taxation.
A similar bill, the Homeland Investment Act, was put in place in the mid-200s, resulting in a measurable rally in the dollar as the funds were brought back to the US.
