Aussie was the main beneficiary of the surprisingly upbeat HSBC flash PMI reading out this morning. Aussie-dollar opened at $0.9251 and spent the early hours drifting lower, in part due to the broader US dollar strength. Aussie-dollar came to rest at a low of $0.9230 minutes after the release of the MI inflation expectations reading and as the market began to price in a likely weak reading of the HSBC flash PMI. The PMI came in at a surprise 5-month high of 49.7, sparking a broad rally in the aussie and yen crosses. Aussie-dollar easily ran through rumored buy-stops at $0.9250 and shot up to $0.9262 soon after the PMI release. It paused there and then extended the peak to $0.9268 and remained near there toward the Asian afternoon. Aussie-dollar was last at $0.9265, with offers cited ahead from $0.9270. Talk of bids above a $0.9200 barrier has kept the pair supported while stops are noted if that breaks. Topside stops are noted above $0.9280 and $0.9300.
