Australian dollar plunges with yuan

DXY rebounded last night:

AUD was a global whipping boy:

As the Tyrant’s shekel collapses:

Commods were soft:

Miners sank:

EM stocks free fell:

Along with EM junk:

Treasuries sold:

Stocks bid:

What a welcome reaction to the rise of Xi the Terrible. Markets hosed everything China. Even the apparently coordinated release of Fed rumours with JPY intervention could not save CNY.

It remains my view that it is going to reverse all of its post-WTO accession gains. This will put immense pressure on commodities that are right at support:

EMs are already under intense pressure and, once it’s done chopping some tactical wood, SPX as well:

There are few things more bearish for markets than a collapsing CNY and who would buy it now?

Adieu AUD.