The pound reaches a 7 week high against the US dollar

With worldwide stock markets buoyant with New York and Tokyo prominent, risk appetite continues to dominate the markets, aiding the rise of high yielding currencies and hurting safe haven currencies.

The New Zealand dollar is at an all time high against the pound and the Australian dollar is at a 28 year high. By contrast, the US dollar has sunk to a 7 week low against the pound and a 6 week low against the euro.

The Canadian dollar has been hit by a fall in oil prices.

The Japanese Yen has weakened in recent days due to last week's move by the Bank of Japan to ramp up its stimulus measures. The Yen has now depreciated by 28% against the dollar since October.

The euro has managed to find some support despite reports that Cyprus needs to find an extra €6 billion to contribute to its own bailout, pushing its aid bill to €23 billion according to a leaked draft of an updated rescue plan. There is some speculation that the shortfall will be covered by savers with accounts at its struggling banks.

Meanwhile, reports coming out of the ECOFIN ministers meeting suggest that both Portugal and Ireland may be given as much as 7 years to pay back their respective bail-outs.