We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Mixed
Oil - US Crude
Mixed
Wall Street
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Mixed
GBP/USD
Mixed
USD/JPY
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • 🇬🇧 Markit/CIPS Manufacturing PMI Final Actual: 40.7 Expected: 40.7 Previous: 32.6 https://www.dailyfx.com/economic-calendar#2020-06-01
  • Sharp risk-off reversal after #China is reported to halt some US agriculture imports amid #HongKong tensions & #TradeWar escalation. #AUD, #NZD and #SP500 futures down. #USD and #JPY up. https://t.co/2uwoEalx62
  • Heads Up:🇬🇧 Markit/CIPS Manufacturing PMI Final due at 08:30 GMT (15min) Expected: 40.7 Previous: 32.6 https://www.dailyfx.com/economic-calendar#2020-06-01
  • China is said to halt some US soy imports as tensions rise
  • U.S. Market Analyst at https://t.co/JsVsSlWDSh, Shain Vernier covers - ✔️ Safe haven assets in volatile markets ✔️ Central banks and governments ✔️ How will commodities trade in a recession Only on Trading Global Markets Decoded #podcast. Tune in here: https://t.co/1UmEzEt7a6 https://t.co/VVnzXqhl9r
  • 🇩🇪 Markit Manufacturing PMI Final Actual: 36.6 Expected: 36.8 Previous: 34.5 https://www.dailyfx.com/economic-calendar#2020-06-01
  • What's been driving #gold strength and #USD weakness since the middle of last week, a move that has seemingly ignored the back/forth on #USChina tensions? Here's a theory: domestic US unrest is fueling bets on more #Fed easing. https://t.co/UM8tftiSh6
  • 🇮🇹 Markit/ADACI Manufacturing PMI Actual: 45.4 Expected: 37.1 Previous: 31.1 https://www.dailyfx.com/economic-calendar#2020-06-01
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.58%, while traders in US 500 are at opposite extremes with 75.21%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/bTOdRb5PFb
  • Heads Up:💶 Markit Manufacturing PMI Final due at 08:00 GMT (15min) Expected: 39.5 Previous: 33.4 https://www.dailyfx.com/economic-calendar#2020-06-01
AUD/USD Resumes Decline after Soft Chinese New Yuan Loans Data

AUD/USD Resumes Decline after Soft Chinese New Yuan Loans Data

2016-01-15 04:50:00
Daniel Dubrovsky, Bradley A. Kearns,
Share:

Talking Points:

  • Aussie fell as PBOC weakened the Yuan reference rate by the most in one week
  • AUD/USD continued fall after China’s New Yuan Loans print missed expectations
  • Weak lending data may imply deeper Chinese slowdown than previously expected

The Australian Dollar resumed its decline against its US counterpart in a risk-off environment as China’s New Yuan Loans crossed the wires. The figure for December showed a print of 597.8b CNY, which was lower than the anticipated figure of 700.0b and November’s reading of 708.9b.

Two hours prior to the data release, the People’s Bank of China weakened the Yuan reference rate by 0.03 percent, the largest devaluation in over one week. The central bank’s actions, which likely triggered risk aversion, saw the Aussie and the Nikkei 225 track lower. Moments later, China’s Shanghai Composite was set to open down 0.7 percent. The risk-off session continued with the soft New Yuan Loans print.

Investors may have interpreted weaker-than-expected lending figures as indicative of a greater than anticipated slowdown in Chinese economic activity. Signs of a deepening slump in the world’s second largest economy bode ill for global growth at large. As such, the release amplified risk aversion across the risky asset spectrum, compounding pressure on Asian shares and sentiment-linked currencies (notably, the Aussie).

AUD/USD Resumes Decline after Soft Chinese New Yuan Loans Data

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.