Risk aversion back into play - FXStreet

Valeria Bednarik, chief analyst at FXStreet explained that risk aversion took over the financial world this Thursday.

Key Quotes:

"...with stocks weakening, treasury yields reaching multi-month lows and gold rallying to a fresh 3-week high. The catalyst beyond this sudden change in market's sentiment was Chinese inflation data,  up by 2.0% yearly basis, missing expectations of a 2.2% gain and below previous 2.3%. Monthly basis, inflation fell by 0.5%. The Producer Price Index showed an improvement, printing a 2.8% decline against previous 3.4%, improving as a result of higher commodity prices. Contracting inflation, revived fears of a local economic slowdown, and that it could quickly spread to other major economies."