USD/KRW sits at KRW1,198.75 as we........>

KOREAN WON: USD/KRW sits at KRW1,198.75 as we type, a touch higher on the day.

South Korean unemployment rate, released this morning, increased considerably

more than expected. It rose to a decade high of 4.5% from 3.8% in May vs. a mkt

forecast of 4.0%. FinMin Hong commented the data in a Facebook post, noting that

the situation in domestic labour mkt is hard to predict as South Korea's economy

takes a hit from contractions in trading partners.

- Elsewhere, Yonhap reported that South Korea is set to "remove unnecessary

regulations to help local retail companies to utilize more high-end technologies

and keep up with soaring demand for delivery services".

- Meanwhile, yesterday's decision by North Korea to sever all communication

lines continues to provide a source of worry, with South Korea noting that it is

in close contact with the U.S. on the matter.

- A jump above Mar 27 low of KRW1,205.20, a former support level, would expose

the 100-DMA at KRW1,211.77. A fall below the 200-DMA at KRW1,196.90 would open

up Mar 11 low of KRW1,186.40.

- Looking ahead, South Korea's terms of trade are due Friday.