The Australian dollar has fallen below the 92 US cent mark as a report showing weakness in Chinese manufacturing adds to worries about the US Federal Reserve scaling back economic stimulus measures.
A preliminary HSBC report shows Chinese manufacturing activity unexpectedly shrank to a nine-month low of 48.3 in June, hitting the Australian dollar, which is already up against a tumbling US stock market.
Bill Mitchell is Professor of Economics at Charles Darwin University.
He explained some of the reasons behind the fall to Peggy Giakoumelos.
Share
