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A recovery in risk sentiment has helped.......>

KOREA
KOREA: A recovery in risk sentiment has helped drive USDKRW back below 1140,
currently trading at 1138.2. The pair was unable to take out its Oct 11 high
last week despite a new low in the Kospi and a new high in USDCNH.
- The won's relative stability last week in the face of risk-off sentiment is a
positive signal but the fundamental outlook remains weak due to the still-wide
real yield spread between the US and Korea.
- 2-year Korean interest swaps are down 0.4bps on the day at 1.8863%, despite
the 0.5% rise in the Kospi. US-Korea 2-year swap spreads remain near cycle
highs, currently at 112.6bps. 
- Markets will continue to look for any signals that the BOK is looking to hike
at its Nov 30 meeting, with Thursday's CPI figures this week's most important
data point in this regard. 

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