AUD/USD falls to a new 2024 low on Chinese news

The reports emerging from China this morning, apparently suggesting the PBOC willingness to allow their currency to weaken, if the US impose punitive sanctions on Chinese imports is still being digested by the markets.This news has been reported by Reuters, citing sources. It has sent, both the onshore and off-shore Chinese currency lower. The Yen is no weaker though and actually a little higher right now. Why that is remains to be seen, but what this has done is to send the AUD/USD to a fresh low on the year, below 0.6350. This level was highlighted here yesterday. The AUD/USD closed in the US last night at 0.6377. These reports emerging from China sent the AUD/USD down to a new 2024 low, at 0.6341. It remains to be seen if that will extend or not, but much could depend if these Chinese reports are later given greater confirmation. The AUD/USD is right now at 0.6355, but just remember the Aussie is extremely sensitive to moves in the Chinese currency