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1 Month USD/KRW Above 1310 Amid Further Tech Equity Losses

KRW

1 month USD/KRW got above the 1313 level late in Thursday NY trade. The pair closed near 1312, a won loss of 0.30%. We aren't too far away from pre FOMC Dec levels, which come in closer to 1319. Note onshore spot ended yesterday at 1310.15.

  • Closing levels for the 1 month NDF were very close to a number of EMAs, with the 200-day just under 1312. Recent dips in the pair back to 1302/03 have been supported.
  • In US trade we saw tech related equity indices continue to falter. The SOX lost a further 0.82%, while the MSCI IT fell 0.63%. These losses were lower compared to prior sessions this week.
  • Broader sentiment remains dominated by the recovery in US yields and paring of 2024 rate cut expectations. US labor market data was stronger than expected ahead of tonight's NFP print. The US real 10yr yield is back to +1.77% (+6bps).
  • The local data calendar is quiet today, with next week's calendar highlighted by the BoK decision on Thursday. Note today the Vice Finance Minister will hold an inflation meeting today.

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