The Australian Dollar edged slightly higher against the US Dollar today, trading between 0.6550 and 0.6570, marking a slight increase of 0.02%. This modest uptick comes despite concerning indicators of an economic downturn in Australia. The Judo Bank Manufacturing Purchasing Managers' Index (PMI) has reached a multi-year low, dropping to 47.7. Similarly, the Services PMI has fallen to 46.3, with the Composite PMI also declining to 46.4, signaling potential economic headwinds.

Investors are also closely monitoring the situation in China, where financial aid for property developers is seemingly boosting market sentiment. Reports indicate that Country Garden Holdings and others have been included on a special financing list by China, which is seen as a positive development for the Australian currency due to the close economic ties between the two countries.

Market watchers are now looking forward to the US S&P Global PMI data, which is expected to further influence the direction of the AUD/USD currency pair. The outcome of this data could provide clearer insights into global economic trends and their impact on currency valuations.

Source: Investing.com