The yen slipped from three-month highs against the euro and the dollar, while the high-yielding Australian and New Zealand currencies reversed earlier losses on Monday as firmer stock markets calmed investors’ risk aversion.

Concerns that troubles in the high-risk U.S. subprime mortgage sector will spill over into the wider credit markets and beyond the United States have led to volatile trading in recent sessions as banks’ risk aversion gauges jumped to multi-year highs.