AUD/JPY slumping towards 77.00 as Aussie traders look towards China PMI data

• Aussie lagging behind to kick off 2019, ticking into two-year lows against the Yen.
• China PMI figures due early today to kick off 2019's overall tone.

AUD/JPY is trading into the familiar low end, clipping into 77.15, a two-year low for the pair as the soft-bellied Aussie continues to slide against the Japanese Yen in risk-off markets.

With Japanese markets shuttered for both today and tomorrow's holidays, action in the Aussie-Yen pairing is seen coming from the AUD side, where investors are stepping into the new year with plenty on their plates to continue worrying about, from a steepening slowdown in China's domestic economy threatening to tip over Australia's own economy, while the US continues to chase trade-war policies that shake up the Pacific-Asia sector as investors shield themselves from fallout.

China's Caixin Manufacturing PMI for December is expected early Wednesday at 01:45 GMT, and with the headline figure forecast to slip from 50.2 to 50.1, bearish traders looking for a reason to continue selling the AUD may find it if the figures miss, while the steady JPY looks forward to enjoying a high market premium as the safe haven of choice.

AUD/JPY Technical Levels