Aussie started the session today at $0.8739 after retreating from last night’s $0.8777 high in the US. Aussie-dollar was initially stuck in a $0.8734 to $0.8750 range in the early hours of the morning, showing little reaction to data showing Australia’s import price index fell in the fourth quarter mainly on a rise in the Australian dollar, and lower prices paid for items like medicinal and pharmaceutical products, and gold. Aussie-dollar however ran into fresh weakness after the release of HSBC’s final manufacturingPMI, which came in at 49.5 a point lower than the flah reading, whihc was widely blamed as the trigger for the current wave of risk-aversion in emerging markets, dealers said. Aussie-dollar fell to $0.8711 low soon after the HSBC release. As regional stock began to pare their early losses as they prepare for the lunar new year holidays, aussie-dollar also witnessed a modest recovery off the lows, in line with toher risk assets. Aussie-dollar was last at $0.8731, just about where it had closed last night in the US, around $0.8739.
