China raises import quota on Australian wool in 2022 to 40,203 tonnes, the country’s Commerce Ministry said in a statement on Wednesday.  

The Commerce Ministry also announced that China set import quota on New Zealand wool in 2022 as same as 2021.

Market reaction

AUD/USD is attempting a bounce from daily lows of 0.7213 on these headlines, as they suggest easing of the trade tensions between China and Australia.

The spot was last seen trading at 0.7224, down 0.07% on the day.

Read: AUD/USD Price Forecast 2022: The China threat could temper Aussie’s turnaround