AUD Trading Outlook (21-05-2012)

The Australian Dollar (AUD) was the markets whipping boy in Asian trade as heavy AUDJPY unwinding and a market spooked on Greek and Spanish woes, insured the commodity currency traded at its lowest level since Dec 2011. ANZ bank chief added fuel to the fire with his comments that offshore swap lines had frozen up for local (Australian) banks, sending the market into a Aussie selling frenzy, as flashbacks to 2008 pre-GFC were touted. The AUD traded at a low of 0.9794 before finding a boost on committed comments from the G8. Heading into the Asian session of trade Monday, data surrounding China imports of Coal had risen 69.9% for the year to date, managed to leg up the Aussie dollar, trading at a high of 0.9872.