The Australian dollar has fallen to the level of US $ 1.0360, which is its lowest level in a week, mainly due to the release of weak Chinese manufacturing data for September and the continuing uncertainty in European nations such as Spain and Greece.

The Australian dollar was trading at $US1.0456 on Friday before it fell to $US1.0360 today. It had touched a low of $US1.0326 during the trading hours, which is its lowest in since September 21. The currency also fell at 80.65 Japanese yen compared to a close of 81.05 yen on Friday. An Australian dollar was valued at 80.66 euro cents against the Euro.

The weak Chinese purchasing managers' index (PMI) for September put pressure on the Australian dollar in the international currency markets. The figure released in Asia's largest economy showed that the China's manufacturing activity has fallen in the second straight month. The PMI grew from 47.6 in August to 47.9 in September but remained below the mart ok 50 which indicate contraction.

Concerns over the economic situation I Europe in particular and Spain and Greece in general have also impacted the currency markets over the weekend, according to experts. Some believe that the Spain government will soon see another downgrade from rating agencies.