Coronavirus-driven AUD sales have brought....>

AUSSIE: Coronavirus-driven AUD sales have brought AUD/USD to its worst levels in

six weeks, just above the $0.6800 mark. Reports of a rising number of infections

and death toll in China provide one source of worry. Meanwhile, the Sydney

Morning Herald reported that a fifth person in Australia may have contracted the

virus. The person in question has tested positively for the presence of the

pathogen, with a confirmation expected later today.

- The virus took its toll on AUD/USD Friday, dragging it 15 pips lower.

- With the rate last seen -27 pips at $0.6805, the psychological barrier & Dec

10 low of $0.6800 provides the initial bearish target. A clean break here would

expose the Nov 29 trough at $0.6754. Bulls need a jump above the $0.6844 100-DMA

before taking aim at the Jan 23 high of $0.6879.

- The local markets are shuttered for a national holiday. On the radar this week

are Australian NAB Business Confidence (Tuesday), Q4 CPI (Wednesday), as well as

PPI and private sector credit (Friday). As a reminder, the RBA are set to

deliver their next monetary policy decision on Feb 4.