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10-Year Future Off Session Lows

KOREA RATES

Futures gapped lower at the open in tandem with the move in UST's, but have recovered from early lows; 10-year future last down 31 ticks at 125.73, off session lows of 125.51.

  • BoK Senior Deputy Gov Lee said the BoK plans to take measures to stabilise markets if necessary, predicting volatility may rise due to changes in policy expectations over economic and inflation situations around the world, especially the US.
  • Looking ahead the MOF will sell KRW 100bn of 10-year linkers tomorrow, the results of which will be watched to interpret the market's inflation expectations after a hawkish set of BoK minutes released this week.

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