AUD/USD achieve daily tops near 0.6950 on the tail of the increase of China’s exports and imports (China is a key custome of Australia). In a related news, China has released a travel advisory for Australia on the grounds of racism, violence and anti Chinese sentiment, according to its ministry of foreign affairs. Further upside is uncertain as the USD remains broadly bid amid sell off in Asian equities. The growing tension in the Sino American war – the latest being the US government finalizing regulations against stellar Chinese companies such as Huawei, ZTE, Hikvision and others – could dampen risk appetite for the AUD – and consequently, potential upside for AUD/USD. Any views?
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