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1 Aug 2013
Flash: Weak AUD despite rise in China's official PMI – UBS
FXstreet.com (Córdoba) - AUD/USD printed a fresh 3-year low of 0.8906 on Thursday. The UBS analyst team commented on recent AUD weakness despite the rise in China’s PMI.
Key Quotes:
“China's official manufacturing PMI registered a counter-seasonal rise to 50.3 in July, beating Bloomberg consensus of a decline to 49.8 and June's 50.1”.
“Despite the uptick in China's PMI, the AUDUSD continues to stay under pressure below 0.90”.
“Markets are now almost fully pricing in a 25bps rate cut in August, and another 25bps rate cut towards the end of this year”.
“The next technical support lies at 0.88, but we remain convinced of our AUDUSD 3-month target of 0.85”.
Key Quotes:
“China's official manufacturing PMI registered a counter-seasonal rise to 50.3 in July, beating Bloomberg consensus of a decline to 49.8 and June's 50.1”.
“Despite the uptick in China's PMI, the AUDUSD continues to stay under pressure below 0.90”.
“Markets are now almost fully pricing in a 25bps rate cut in August, and another 25bps rate cut towards the end of this year”.
“The next technical support lies at 0.88, but we remain convinced of our AUDUSD 3-month target of 0.85”.