Aussie falls despite US-China trade deal announcement

The Australian dollar fell against the greenback today, despite the US and China announcement of reaching the phase one of the trade deal.

The US announced that it officially agreed on the terms of the phase one of the final trade deal with China, but some of the existing US tariffs will remain.

Trump said his administration decided to cancel the tariffs hike decision against China, which was due next Sunday, but the previous tariffs would remain.

Trump added that the signing of the phase one would take place with China, and will start immediately to negotiate the phase two before the US presidential election, which contradicts with his recent remarks about delaying the agreement until after the 2020 election.

Bearing in mind that Australia is a strong trade partner to China and has been impacted by the trade war, which consequently affected global markets.

AUD/USD fell by 0.6% to 0.6866 as of 17:22 GMT, the pair hit an intraday high of 0.6939 and a low of 0.6863.