China is witnessing a slowing economic activity, especially the manufacturing sector, besides rising concerns about a new asset bubble after lenders announced that they refuse to lend real estate companies. The Chinese yuan dropped to the lowest in five years against dollar, along with forecasts that the People`s Bank of China won`t interfere in the currencies market to support the local currency, giving more space for yuan to fall. Moreover, China`s stocks indices declined to the lowest in two weeks, adding more fears in the financial market, which pushed traders to avoid investing in emerging markets and move to the Japanese yen as a safe haven. USD/JPY declined to record a low of 101.99, and it is currently hovering around 102.17. EUR/JPY also dropped to record the lowest since last week at 140.12, and the pair is currently trading around 140.44. The rising concerns among traders pushed both New Zealand dollar and Australian dollar downside against the federal currency and the Japanese yen. AUD/USD slid for the second straight day to record a low of 0.8967, while NZD/USD declined to 0.8307.