The Aussie dollar crashed to 70 cents overnight

(Getty/Mark Kolbe)

It’s been a wild ride for Aussie dollar traders overnight with the Aussie holding, crashing, recovering and now slipping again.

Of course, that’s what you’d expect when global markets have been in such a funk for the past 24 hours.

Yesterday’s Asian stock weakness lead to falls on Europe’s stock markets of 5% or more and in the US, the Dow was down 1,000 points at one stage before rallying back a little. It’s down just 671 at the moment for a loss of more than 4%. The Nasdaq has lost around 4% as well, the S&P a little less.

Australia’s SPI 200 futures have come under pressure as well, falling another 194 points or roughly 4%.

These are not the conditions when the Aussie dollar does well.

So it will be no surprise that fell to 0.7058 overnight against the US dollar as a combination of a wild increase in traders’ fear about the global economic and market outlook.

It’s recovered around a cent since the low and is currently trading 0.7163, off 2.1%.

Here’s the chart:

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