USDKRW has dropped 0.6% from its daily high...>

KOREA: USDKRW has dropped 0.6% from its daily high to trade at 1132.5 as the

recovery in the yuan and positive headlines on China-US trade relations support

risk assets. The failure to break above 1140 yet again shows this area is

gaining importance as resistance. KRWJPY is up 1% from its daily lows after

failing to consolidate the drop below its 200-dma. 

- Rate markets are also responding positively, with 2-year swaps recovering

losses to trade up 1bps on the day in contrast to China where rates remain down

on the day despite the recovery in risk appetite.

- The won is outperforming relative to the Kospi which marks a shift in recent

price action, with the index still down 1% despite recovering most of its

losses.