Won Rallies On Broader Equity Gains, IP On Tap Shortly

1 month USD/KRW continued to track lower post the Asia close on Monday. The pair getting sub 1345 late in NY trade. This was a won gain of 0.71% for the 1 month NDF, so outperforming the broader USD sell-off (BBDXY -0.35%). Note onshore spot closed yesterday at 1350.90.

• Won bulls will eye a test of the 50-day EMA near 1338, while the 20-day sits just above 1346.50, but doesn't appear to be a strong technical point at this stage.
• The won displayed its high beta with respect to global equity sentiment on Monday. The market seems more comfortable with a contained Israel/Hamas conflict, although it will remain a close watch point. Lower oil prices aided the risk on mood, as the war premium was unwound.
• In terms of tech equities, it was mixed though, with the SOX down 1.30%, while the MSCI IT gained just over 1%. To recap, the Kospi 0.34% yesterday (the Kosdaq 1.15%), while offshore investors added modestly to local shares (+9mn).
• Note Samsung Electronics releases Q3 earnings this morning.
• On the data front, coming up shortly we have IP for Sep (-1.0%m/m forecast versus +5.5% prior). The cyclical leading index is also out.
• President Yoon will also address the National Assembly today.