Greenback, Aussie Show Marginal Weakness

Price action across G10 FX space was rangebound and ultimately non-linear, with the space struggling for a uniform direction amid fairly light headline flow. China's activity indicators were a mixed bag, but Q2 GDP missed expectations and the NBS was downbeat in its commentary on the data.

• Spot USD/CNH took some time to unwind its initial losses and move into positive territory, but yesterday's best levels remain some way of. China's Q2 economic growth missed expectations, industrial production fell roughly in line with forecasts, retail sales topped estimates and unemployment dropped. Despite some incremental positives, meagre growth means it will be difficult for China to meet its +5.5% Y/Y growth target for this year.
• The Aussie dollar underperformed its major peers at the margin. Iron ore consolidated Thursday's sharp losses linked to reports of Chinese homebuyers boycotting mortgage payments.
• The BBDXY index meandered just shy of cyclical highs printed on Thursday, as the dust settles after this week's hawkish Fed repricing. The greenback was among the worst G10 performers.
• U.S. retail sales, industrial output, Empire M'fing & flash Uni. of Mich. Survey take focus on the data front. The list of central bankers due to speak today includes Fed's Bostic, Bullard & Daly as well as ECB's Rehn.