Heightened geo-political tension is keeping investors cautious, heading into mega-December.

French people still struggling to come back from November 13th attack on Paris by ISIL militants, Belgian capital Brussels remain in lockdown amid terrorist threat, Turkey downed a Russian military jet accusing of air-space violations and all these adding to heightened geo-political tensions over consequences.

Any out of balance move in a region, which is source to 30% of global crude oil could trigger massive pull back and short covering in oil, which would be sufficient to cause turmoil across global markets. Oil is now more correlated to global assets than ever.

To add to the concern, heavy one sided position in both Euro and Dollar heading into the end of the year, according to many could trigger big covering, once the events are done with. European Central Bank (ECB) is expected to increase stimulus next week, while FED is expected to hike rates in mid-December meeting.

Yen so far is the best performer of the week, up more than 0.3% against Dollar and more than a percent against Pound. Yen is currently trading at 122.3 per Dollar and 184.6 per Pound.