Shanghai sell-off leads to further Aussie selling

FXStreet (Bali) - The AUD/USD habs broken below the 0.8950 support with the sell-off in the Shanghai Composite exacerbating the pain for the Aussie in Asia, posting a session low of 0.8945.

According to market sources, sharp declines in the Shanghai stock index (down 1.8%), due to banks curbing bank lending, especially to the real estate market, has led to strong selling interest in this sector, with many shares hitting the 10% limit down.