Fitch: China hard landing second most risk for Australia’s fixed income investors

Global credit rating agency Fitch recently released its analysis on Australia’s fixed income markets. The rating giant conveyed that the Australian fixed-income investors consider geopolitical risk as the biggest threat.

Key quotes

• "Australian investors believe macroeconomic disruption likely due to trade wars pose a threat to bank credit quality over the next 12 months."
• "China hard landing second most risk."

FX implications

While AUD/USD showed little reaction to the news, it signifies the US-China trade’s impact on the Aussie. The quote seesaws near 0.6750 by the press time of early Wednesday morning in Asia.