Investing.com - The Aussie traded flat in early Asia on Thursday as the local PMI reading slumped and ahead of a private manufacturing survey from top trade partner China expected to set the tone.
AUD/USD traded at 0.7519, flat, while USD/JPY changed hands at 103.33, down 0.10%.
In Australia, the AIG manufacturing index for August came in at 46.9, compared with a previous reading of 56.4. It was the lowest level since June
last year, ending 13 straight months of expansion. The fall was mainly because of softening in the food and beverages sub-sector, which has been the strongest
performer so far this year. Later, the Japan manufacturing PMI is seen at 49.6, unchanged.
Later, private capital expenditure figures for the second quarter are expected to show a decline of 4.2% quarter-on-quarter and at the same time retail sales for July are seen up 0.3% month-on-month.
In China, the semi-official CFLP manufacturing PMI for August is due with the level seen unchanged at 49.9 and the non-manufacturing PMI last in at 53.9. Then comes the Caixin manufacturing PMI for August with a 50.1 level seen, a dip from 50.6 the previous month.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was last quoted down 0.04% at 96.01.
Overnight, the dollar was trading at three-week highs against the other major currencies on Wednesday, after a slew of positive U.S. data added to optimism over the strength of the economy and boosted expectations for a near-term rate hike.
The National Association of Realtors said pending home sales rose 1.3% last month, beating expectations for an increase of 0.6%.
Pending home sales fell 0.8% in June, whose figure was revised down from a previously reported gain of 0.2%.
In addition, U.S. payroll processing firm ADP said nonfarm private employment rose by 177,000 last month, surpassing expectations for an increase of 175,000.
The economy created 194,000 jobs in July, whose figure was revised from a previously reported increase of 179,000.
The data came a day after Fed Vice Chairman Stanley Fischer said the U.S. labor market is almost at full strength and the pace of interest rate increases will be data dependent.