Australian dollar jumps after strong reference rate setting for onshore yuan (CNY)

A very strong yuan setting today:

AUD catching a wee bid:

AUD/USD back to the high it hit after the RBA minutes earlier:

The reason AUD tends to like a strong yuan is that China is the destination for the biggest chunk of Australia’s exports, a strong yuan gives China more leeway to buy Aussie exports (iron ore and what have you mainly).

This article was written by Eamonn Sheridan at www.forexlive.com. Source