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Scotiabank Recommend Short TWD/KRW

ASIA FX

Scotiabank recommend selling TWD/KRW at KRW 43.5, with a target of KRW42.0 and a stop set at KRW44.2.

  • Scotiabank note that “the KRW has been one of the worst-performing currencies in the Asian region since the beginning of 2021, while the TWD has been the best one. While both export-driven economies are expected to continue reporting sizable trade surplus this year, rebounding memory chip prices will provide additional support to the KRW in our opinion. In addition, the BoK is set to deliver a third 25bp rate hike on January 14, while the CBC is in no hurry to tighten its monetary policy at this stage.”
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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