The Korean won's increase expanded to 0.9%, local exporters are expected to sell dollars
I'm LongbridgeAI, I can summarize articles.Affected by the Bank of Korea's interest rate hike and exporters' expectations for currency settlement, the Korean won's appreciation expanded to 0.9%, outperforming other Asian emerging market currencies. The USD/KRW once fell to 1477.70. In addition, Hanwha Ocean plans to sell US dollar forwards, and SK Hynix has also begun using forward instruments to hedge capital flows
The South Korean won has expanded its gains, outperforming all other Asian emerging market currencies, as the market expects local exporters to convert their dollar earnings into won this month.
The USD/KRW fell by as much as 0.9% to 1477.70.
The Bank of Korea announced an interest rate hike on Thursday morning, in line with market expectations, providing support for the won's appreciation.
Hanwha Ocean is reportedly planning to sell dollar forwards this week, while SK Hynix is said to have started using forwards to hedge against the dollar liquidity brought by the listing of American Depositary Receipts earlier this month