It’s get out of Dodge time. The EUR continues to falter as sovereign-debt worries remain at the forefront. The ECB seems to be losing its grip on its own independence and is in danger of becoming more of a political pawn in Europe, talking its own book. This week’s ECB rate announcement was a zero-sum game, the bulls and bears got what they wanted, a hint of a rate hike and Trichet mentioning a stronger dollar policy more than once. However, there seems to be some ambiguity in his comments about when and how often they will need to raise rates this year, remaining a cloud over the currency.

Risk aversion trading strategies continue to dominate as fear of global growth stagnation has investors wanting to pare some of their risk winning trades. With European leaders remaining at odds on how to provide long term support for Greece and a slow down in Chinese risk exports this week is also weighing heavily on risk appetite. Below are some of the key highlights of the week:

Round up of what’s been happening in forex land this week.