The FX flash crash (seemingly spurred by.....>

AUSSIE: The FX flash crash (seemingly spurred by pressure on the AUD & JPY

pairs, and exacerbated by the thin liquidity during the NY/Asia crossover) saw

the rate hit a low of $0.6741, a level not observed since 2009, before the pair

reclaimed $0.6900, last dealing 50 pips or so lower on the day at $0.6938. Bears

will look for consolidation below the 2016 low of $0.6827, while bulls need to

reclaim $0.7000.

- AUD/USD was already under pressure on Wednesday, as the rate breached pivotal

support & the psychological $0.7000 level, after a soft Chinese Caixin

manufacturing PMI set the tone for the session. That was before late NY risk-off

flows added further pressure, with AUD's links to the Chinese economy pressuring

the rate as Apple cut its Q1 guidance, with specific reference to China/trade

war matters.

- Broader risk theme set to dominate the AUD for the remainder of the week, with

the AU docket picking up again next week.