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Bonds Bid On Record Virus Case Numbers

KOREA RATES

Bonds in South Korea under pressure again as risk assets take a hit after the health ministry announced a record high number of COVID-19 cases, with cases staying above 1200 for two consecutive days for the first time since December. 10-Year contract is up 125 ticks from Tuesday's close at 126.85.

  • Yesterday health authorities decided to extend current distancing curbs in the greater Seoul area for one week but warned of further tougher measures unless the current situation is brought under control. Markets will look head to the BoK meeting next week (15 July) to see how the increased case numbers have affected the outlook after hawkish comments from officials.

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