Session Recap: Aussie and Gold dumped as Shanghai Composite plummets

FXstreet.com (Barcelona) - As a credit crunch in China still looms, the Shanghai Composite index has been dumped almost -4% at some point in the session, dragging all the other local share markets that had managed to previously reversed a weak start of the session, and print fresh daily highs before they turned nastily to the downside.

The USD has remain steady around the 82.44 in the spot index (DXY), sending EUR/USD to session lows at 1.3110, AUD/USD down to 0.9200 round, and USD/JPY also down to session lows at 97.28. The Nikkei index started the day down -0.7% for then printing session highs up around +1.20%, to finally selling off after the lunch break to last trading down almost -1.7%.

Gold has also plummeted below the $1275 in the mean time, with Oil also falling below the $94.50 mark, in a session with a very weak economic agenda. Corporate Service Price (YoY) in Japan rose to +0.3% from a previous -0.4%, while the China's Beige Book survey for the second quarter saw a decline in retail and services sectors.

Main headlines in the Asian Session:

Flash: Fed tapering not a world-ending cataclysm – RBS

EUR/USD continues to ease off earlier highs

China Securities Journal quotes a reporter: ‘PBOC should move rates lower.’

Japan Corporate Service Price (YoY) improves to 0.3% in May from -0.4%

China's Beige Book underlines struggles in retail, services

Italy could need EU rescue within six months warns Mediobanca

Japan’s economy minister Amari: Tokyo election results supports Abenomics

EUR/JPY dips below 128.00

AUD/USD at session lows as hell breaks loose in Shangai index