SYDNEY/WELLINGTON, June 20 (Reuters) - The Australian dollar slumped to a fresh 33-month low on Thursday after taking a one-two punch from disappointing Chinese data and a signal from the Federal Reserve that it could begin to scale back stimulus this year.
* The Aussie falls as far as $0.9240, a low not seen since September 2010, after data on China's factory activity fuelled worries about a slowdown in Australia's single biggest export market.
* Initial support is seen at $0.9218, the 61.8 percent retracement of its 2010-2011 rally.
* Aussie was last down 0.2 pct at $0.9271, following a 2.2 pct drop overnight as the greenback rose broadly after the Fed confirmed it could begin to reduce asset purchases this year if the economy continues to recover.
* The prospect of an end to free money in the U.S. has sparked a huge unwinding of carry trades with investors rushing to pull money out of emerging markets, which had been very popular due to their higher yields.
* The Aussie is used by many as a proxy for the less liquid emerging markets in Asia adding to the selling pressure. A favoured trade has been shorting the Aussie against the euro, which saw the single currency hit A$1.4357, its highest in more than two years.
* New Zealand dollar also struggling, further weighed by local data showing a weaker pace of growth than expected in the first quarter.
* It falls to $0.7842, coming close to a one-year low around $0.7761 plumbed earlier in the month.
* Both Antipodean currencies also lose ground against the yen, with the Aussie at 89.61 and nearing its 2013 trough of 88.90 set a week ago. The kiwi sheds 0.3 pct to 75.93 yen
* Australian government bond futures nursing heavy losses, following a sharp drop in U.S. Treasury prices. See:
* The three-year contract down 0.17 points at 97.260, while the 10-year contract falls 0.21 points to 96.360, the biggest daily drop in four years.
* New Zealand government bonds also hit hard with yields jumping as much as 22.5 bps at the long end.
(Reporting by Ian Chua) Keywords: MARKETS AUSTRALIA NEWZEALAND/FOREX
(ian.chua@thomsonreuters.com)(+61 2 9373 1871)(RM: ian.chua.thomsonreuters.com@reuters.net)
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