HSBC - "We maintain our bearish stance on the AUD, and have been frustrated by the failure of the AUD to fall alongside evident deterioration in some fundamental drivers to the currency. However, while a slowing Chinese economy, lower commodity prices and an overly generous pricing of yield differentials into the currency will help push the AUD lower, they are not enough. Instead, it is clear that the market appetite for risk has to change for AUD to push substantially lower, a distinct possibility given the weak state of the global economy and our fears for US fiscal health. We have become used to the JPY not being driven by local news flow. Perhaps we should accept that, for now, the same may be true of the AUD."