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Onshore Markets Closed Today, 1 Month NDF Likely To Follow Broader Risk Swings

KRW

1 month USD/KRW was volatile post the Asia close on Friday. The pair spiked above 1354 post the payrolls print in the US, but closed back near 1342.50 as risk appetite ended the week positively. This is close to late September lows and just above the 20-day EMA (~1341.4) Note onshore spot ended Friday's local session at 1350.

  • Onshore markets are closed today for Hangul day, returning tomorrow.
  • 1 month USD/KRW sentiment is likely to be dictated by the risk-off tone in cross-asset markets, with oil futures sharply higher, US equity futures lower in response to the surprise Hamas attack on Israel over the weekend.
  • The USD is higher as well, but at +0.10%, the BBDXY is only modestly higher.
  • Without an onshore anchor, overall moves may remain contained in the 1 month NDF space though.
  • Looking ahead, the local data calendar is fairly light this week. On Wednesday, August current account and goods balance data is due. On Friday September unemployment figures are due.

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