Futures Decline For First Day In Four

Futures in South Korea are lower for the first time in four days, falling out of favour as equity markets rise even in the face record COVID-19 numbers. South Korea reported record daily COVID-19 cases for the second day, there were 1,842 new cases with authorities noting mass infections from a virus-hit Naval unit, while it seems increasingly likely officials will extend the toughest virus restrictions in the wider Seoul area. Concerns are also rising over the delta variant, which has fast become the nation's dominant strain constituting 76% the past week.

• Fitch affirmed South Korea at AA- with a stable outlook. The report noted robust external finances, resilient macroeconomic performance and modest fiscal headroom against geopolitical risks related to North Korea and medium-term structural challenges from an ageing population while also praising the economic recovery even in the face of a fourth wave of coronavirus.
• 10-Year future is down 22 ticks at 127.90 while the 3-Year future is down 4 ticks at 110.26.