Renewed worries over the state of the global economy has resulted in a rush to safe haven assets, pushing the Japanese Yen and Swiss Franc higher in Asian trade. The latest economic data out of China indicated a sharp fall in the country’s exports, with exports falling on a year-over-year basis in September to -10%, against expectations of a slight decline to -3% from -2.8%. China is the world’s second largest economy and it has a direct impact on the economies of the trading partners within that region, specifically Australia. As a result, the Aussie Dollar came under some pressure.
As reported at 10:45 am (BST) in London, the AUD/USD was trading at $0.7547, down 0.27%; the pair has ranged from a session low of $0.7504 to a peak of $0.7571. The USD/JPY was trading at 103.91 Yen, down 0.22%; earlier the pair had hit a low of 103.52 Yen. The EUR/CHF was lower at 1.0892 Swiss Francs, down 0.10%.
German CPI Helps Euro’s Recovery
The Euro had earlier been under similar pressure after Europe’s major equity markets tumbled in the wake of the Chinese data. However, the latest inflation data out of Germany came in as expected which helped to revive interest in the common currency. Currently, the EUR/USD is trading slightly higher at $1.1016, up 0.08%; the during the session, the pair had hit a low of $1.0982 and a peak at $1.1037.