Another weekend, more speculation of PBOC moves
The Chinese stock market needs a lifeline after a 7.4% drop in the Shanghai Composite today.
The market is begging for a PBOC rate cut or some other kind of stimulus to keep the party going. If the slump continues, look for it to drag the Australian dollar below the April low of 0.7533 to a fresh low since 2009.
Technically, that's where it starts to get interesting. There would be very little support on the chart until the 0.6250. Obviously that would have to entail some significant global growth concerns and separate concerns about the Australian economy.
