USD/KRW opened little changed and........>

KOREAN WON: USD/KRW opened little changed and continues to hold a tight range,

sitting at KRW1,240.15 as we type. South Korea released industrial output

figures for April, which indicated a deeper than expected decline in production.

- Probably worth recapping that South Korea decided to tighten quarantine

restrictions in greater Seoul area over the next two weeks, after the nation

declared its largest daily increase in new Covid-19 cases in almost two months.

As we flagged several times before, the emergence of a cluster of new cases in

the capital and nearby provinces have concerned health authorities recently. The

whole nation may return to tighter social distancing guidelines if it fails to

bring renewed spread of the infection under control.

- A break above May 25 high of KRW1,244.25 would bring Mar 24 low of KRW1,249.65

into play, while a drop below the 50-DMA/Wednesday's low

at KRW1,230.39/1,229.50 would expose May 19 low of KRW1,221.25.

- Looking ahead, South Korea will publish trade data and Markit M'fing PMI on

Monday, final Q1 GDP & monthly CPI are due Tuesday, while BoP current a/c

balance hits the wires on Thursday.