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USDKRW is trading weaker in early trading.....>

KOREA
KOREA: USDKRW is trading weaker in early trading as the dollar's broad based
decline and improving risk appetite help to push the pair back below the 21-dma
to trade at 1116.90.
- With USDJPY on the rise, KRWJPY is looking bullish, with bulls looking for a
break above the 200-dma to overcome down trendline resistance from the January
peak.
- The recent trend of rising Korean interest rate swaps support continued won
gains vs the yen. That said, the 2-year has dropped back 1.25bps today to trade
at 1.9375%, still within its broader downtrend. 
- The US-Korea 2-year swap spread has risen back out to 105bps, while the real
yield spread remains in the USD's favour.
- The Kospi is consolidating yesterday's gains above resistance and may have
triggered an inverse head-and-shoulders formation targeting the 2400 level.  

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