Won Strengthens Most Since Feb

A weaker greenback inspired by a dovish FOMC has allowed the won to strengthen, USD/KRW last a 1123.05, down 7.20 on the session. The rate hasn't seen these levels since March 3, and the drop so far is the biggest since Feb 8

• The BoK delivered a statement following the FOMC meeting and subsequent market reaction, it said will take steps to stabilise FX and financial markets if needed, and will strengthen the monitoring of markets. The bank added that the FOMC meeting was in line with expectations.
• South Korea reported 445 new daily new coronavirus cases, bouncing back to over 400 on increased virus tests and a continued rise in cluster infections, stoking woes over a resurgence down the road. The daily caseload was sharply up from 363 on Tuesday. During the first two days of this week, the daily virus cases stayed in the 300s on account of fewer tests over the weekend.
• Elsewhere US Secretary of State Antony Blinken met with South Korean Foreign Minister Chung Eui-yong in Seoul and reiterated his criticism of China for its use of "coercion and aggression" on the international stage. "It's critical that we stand up to the values especially now because we are witnessing a dangerous erosion of democracy around the world including in this region," Blinken said.
• Markets look ahead to money supply data at 0300GMT/1100HKT, the figure is not usually a market mover.