KRW: USD/KRW Holding Close To Recent Highs, Further Domestic Push For BoK Cut

Spot USD/KRW finished extended trade just above 1340. We remain off recent highs (1347.85) but still in the upper half of ranges that have prevailed since mid-August. The 20-day EMA sits just above 1343, so not far away from Wednesday closing levels. Intra-session lows from Wednesday were at 1337.05.

• Won sentiment was buffeted through US Wednesday trade by a firmer US yield backdrop, led by the front end. This came post the core CPI beat. A positive offset for the won came from a resurgent US equity close, led by the tech side. The SOX index rose 4.9%, while the MSCI IT gained 3.00% for Wednesday's session.
• To recap, onshore equities closed near 2513 yesterday for the Kospi, off 0.40%, while offshore investors remained net sellers of local equities. They sold a further -$742.2mn in local stocks.
• The data calendar is quiet today. We do have the BoK quarterly monetary policy report, which is out at 12pm local time (per BBG). Capital market reforms will also be discussed by the NPS and Financial Supervisory Service. The Government will also release monthly fiscal data.
• Late yesterday, the Policy Chief for President Yoon stated that conditions are being met for lower policy rates (see this link).
• North Korea also reportedly test fired missiles this mornings, towards the East Sea.