China Caixin Manufacturing PMI overview China’s Caixin Manufacturing PMI will be dropping early on Wednesday at 01:45 GMT, and the headline reading of manufacturer’s activity and costs expectations is expected to drift down slightly, from 51.0 to 50.8, as China’s economy begins to grapple more earnestly with a potential slowdown. CHina’s official PMI reading recently missed expectations as well, and as analysts at Nomura noted: “We remain cautious on calling a growth rebound for the following reasons: 1) the starting and implementation of new projects takes time, especially as local governments still face a credit squeeze; 2) the pledged supplementary lending (PSL) and cash settlement of the shanty town renovation program are not sustainable, in our view; 3) it takes time to unwind some of the previously implemented deleveraging measures; and 4) already high yields of Chinese corporate onshore and offshore high-yield dollar bonds have made bond financing much more difficult for LGFVs and enterprises.” How could it affect the AUD/USD? With China’s official reading missing forecasts, expectations for the Caixin PMI are low, but a worse-than-expected contraction in the printing could see the Aussie take a step down on fear of a worsening slowdown for China’s economy, while a positive reading will see the AUD take a step higher as bulls capitalize on a signal that things are still looking hunky-dory for Australia’s closest trading partner. The Aussie maanged to catch a quick bullish clip higher yesterday on positive Aussie data, but the AUD/USD remains stuck in middling territory between key swing points, and as noted by FXStreet’s Valeria Bednarik, “the short-term picture for the pair is barely positive, as the price remains within familiar levels, but at least at the time being is advancing above a congestion of moving averages, while technical indicators lost upward strength, the Momentum already heading lower and the RSI flat at around 61.” Support levels: 0.7370 0.7330 0.7300 Resistance levels: 0.7445 0.7490 0.7520 Key notes AUD/USD analysis: bulls trying again to break the range China: Official PMI fell further in July – Nomura About the China Caixin Manufacturing PMI The Caixin China Manufacturing PMIâ„¢ is based on data compiled from monthly replies to questionnaires sent to purchasing executives in over 400 private manufacturing sector companies. FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next USD/CNY fix projection: 6.8302 – Nomura FX Street 5 years China Caixin Manufacturing PMI overview China's Caixin Manufacturing PMI will be dropping early on Wednesday at 01:45 GMT, and the headline reading of manufacturer's activity and costs expectations is expected to drift down slightly, from 51.0 to 50.8, as China's economy begins to grapple more earnestly with a potential slowdown. CHina's official PMI reading recently missed expectations as well, and as analysts at Nomura noted: "We remain cautious on calling a growth rebound for the following reasons: 1) the starting and implementation of new projects takes time, especially as local governments still face a credit squeeze; 2) the pledged supplementary… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk.2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk.3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk.4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk.5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.