The Australian dollar is trading lower against the US dollar this morning after Chinese PMI’s disappointed (see economic calendar below). This slowdown in activity led to most soft commodities, precious and base metals to fall thus weighing negatively on the AUD – a key commodity trading partner with China. After moving back into expansionary territory for the first time since April last month, the manufacturing print has now fallen back below the 50 mark. Despite missing forecasts, efforts by the Chinese government to stimulate the economy could still follow through and reinvigorate the economy moving forward.
