The Australian dollar fell to a three week low after weak capital expenditure data confirmed that the mining investment boom is over.
At 1700 AEDT on Thursday, the local unit was trading at 89.42 US cents, down from 90.12 cents on Wednesday.
Total new capital expenditure, or capex, was down 5.2 per cent in the December quarter to $38.29 billion, seasonally adjusted - the lowest level since the global financial crisis.
It was the biggest quarterly fall in business investment in over two years and was led by a big drop in mining related investment.
Soon after the capex data was released the currency fell almost half a US cent to 89.17 US cents.
Forex.com research analyst Chris Tedder said the investment data was a surprise to currency traders.
"While the market was expecting some weakness to come through at the end of the year, it wasn't expecting investment to fall off a cliff," he said.
"The immediate sell off in the Australian dollar following the release of the figures sums up the market's feelings pretty well."
However Mr Tedder doesn't expect the data to weaken the Australian dollar too much because it won't be bad enough to get the Reserve Bank of Australia to consider interest rate cuts.
"At the moment the RBA has its hands tied behind its back by strong inflation, so it's unlikely it would cut the cash rate in the near term no matter what," he said.
"While today's data is disappointing, it doesn't tell us much that we didn't already know. The situation is just a bit worse than previously expected."
Of interest to currency markets during the offshore session will be US Federal Reserve chair Janet Yellen's testimony to the US Senate early on Friday morning, Australian time.