Quiet morning until the release of JP Morgan Chase earnings. Early on risk sentiment was looking somewhat fragile, underminned by the news that CIT was likely headed into bankruptcy, filing possibly as early as tomorrow.

EUR/USD and GBP/USD reached session lows of 1.4056 and 1.6355 against this backdrop. Both pairings were recovering (EUR/USD around 1.4100, GBP/USD just above 1.6400) when the news hit that JP Morgan had beaten the earnings estimate by a huge margin.

This ignited risk appetite with EUR/USD soaring to 1.4137, GBP/USD to 1.6459 before settling back. Sources note sell orders now lined up at 1.4140/50 and 1.6490/00 in the respective pairings.

USD/JPY hit a session low of 93.53 against the backdrop of dulled risk appetite/lower U.S. yields before recovering nicely on the JP Morgan news, presently at 93.95. Sources note buy orders down at 93.50, sell orders up at 94.20/50.