The Australian dollar got some relief after China's annual economic growth in the final quarter of 2013 came in at 7.7 percent, down from 7.8 percent in the previous three months but slightly ahead of market expectations for growth of 7.6 percent.
"It's not a particularly good number but there wasn't any drop to levels below the 7.5 percent threshold," said Satoshi Okagawa, senior global markets analyst for Sumitomo Mitsui Banking Corporation.
While the data might have spurred some short-covering in the Australian dollar, the impetus is unlikely to be strong enough to prompt traders to go long the currency, he added.
(Read more: What's next for China? Economists are split)
The Aussie edged up 0.1 percent on the day to $0.8790 after earlier falling to $0.8756, its lowest level in about 3 1/2 years, in the wake of weak jobs data last week.
Traders said the 87 U.S. cent area should provide good support, as it did in 2010, although a break could see it test $0.8600 in a hurry.