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While the trade and political tussle between Australia and China challenge the commodity bulls, CNBC came out with the news suggesting further hardships for Antipodeans given Beijing’s dominance in the commodity market.

The news piece cites the recently conveyed, between November 12 and December 11, China Beige Book survey to expect sharp drops in sales growth for luxury goods, food and apparel compared to the prior quarter.

The report also mentioned, “After about a year since Covid-19 first emerged in the Chinese city of Wuhan, roughly two-thirds of executives polled by the third-party firm said they don’t expect sales, profitability and hiring to return to 2019 levels until at least three months from now.”

FX implications

AUD/USD eases from the intraday high following the news. However, overall optimism backed by the US coronavirus (COVID-19) stimulus headlines keeps the prices up 0.14% intraday to 0.7588 by press time of early Tuesday.

Read: AUD/USD: Buyers keep June 2018 top on radar amid US aid package news