Aussie ends 4-day winning-streak on China data, UK PMI eyed

By FXStreet FXStreet (Mumbai) – The persistent risk-condition in Asia came under pressure following the release of weaker set of manufacturing PMI reports from China, with the Aussie suffering the most among the G10 currencies. While the euro emerged the top performer amid wide-spread risk-aversion.

Key headlines in Asia

China manufacturing PMI for January worse-than-expected

China Jan Caixin PMI remains low, beats expectations

Dominating themes in Asia – centered on JPY, AUD and NZD

A renewed bout of risk-aversion hit Asia this Monday, and investors gave up risky assets such as equities, oil and industrial metals in favour of low-yielding/safer bets such as gold, euro and the Swiss franc. The yen was an exception among the safe-havens today as the recent BOJ’s surprise rate cut moves continues to weigh on the Japanese currency, and thus, the USD/JPY pair remains indifferent to the persisting risk-averse conditions. The major trades 0.07% higher at 121.20, capped by 200-DMA placed at 121.47.

While the AUD/USD pair was the biggest loser as renewed sell-off in commodities on the back of worse-than expected China PMI data continues to hurt the resource-linked Aussie. NZD/USD also remained in the red and hovered below 0.65 handle amid China-led risk-off trades. China’s official PMI gauge …read more

Source:: FX Street