Australian Dollar Falls Amid Slowdown Concerns, Chinese Stocks

The Australian dollar fell to the weakest level in more than a month against its U.S. peer after the nation’s home-building permits fell by the most in a decade.

The Aussie declined to a nearly two-month low against the euro as China’s Shanghai Composite Index (SHCOMP) slipped to its lowest level since February 2009. China is the nation’s largest trading partner. New Zealand’s dollar weakened versus 13 of its 16 most- traded counterparts as global stocks and commodities dropped.

“We continue to hold some Australian dollars, but it’s certainly not as attractively priced since there are more headwinds now,” Axel Merk, founder and president of Merk Investments LLC in Palo Alto, California, said on a radio interview on “Bloomberg Surveillance” with Tom Keene and Ken Prewitt. “We tend to be more positive on the China story that is very closely linked to Australia. But, by all means, there is some slowing down happening in Australia.”

via Bloomberg

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