USD demand continues, AUD the biggest loser (here's why)

Ahead of Jackson Hole there is an underlying bid for USD - some niggles Powell might be a touch more hawkish

(that's the latest heard it on the grapevine)

As for the AUD …. political turmoil …. yaeh, yeah. I think that is a factor but of more import is the news out of the Australian Treasury this morning:

• What will be the repercussions from China on this decision in Australia?

I cannot see China shrugging this off … the repercussions for a relatively small economy like Australia could be nasty.

AUD/USD the biggest loser on the session so far:

For the time being 0.7300/10 holds decent AUD/USD bids, and the bidding extends through down towards 0.7275.

There are some stops under the 0.73 figure, but like I said, bids under there too.

The thing to watch is if we don't get an AUD bounce it'll indicate a weight of sellers just sitting on it. As I have said, the Huawai news is not way a positive for AUD. Looks lower to me.