Won Weaker In Early Trade

The won is weaker in early trade, USD/KRW gapping higher off the open but has since moved lower. The pair last up 2.05 at 1130.85. The pair has moved in a range since the Fed meeting in June, moving between 1125 and 1140, 2021 highs are not far off at 1142.60.

• On the coronavirus front South Korea reported 794 new cases in the past 24 hours, a sharp jump from 595 on Tuesday. A set of revamped distancing rules will be implemented next month as the country's vaccination program gathers pace. The eased rules will be put into place as a rising number of variant cases are threatening the country's virus fight. Ahead of the implementation of the eased rules, health experts expressed concerns over the possible surge in new cases, as people in their 20s to 50s have yet to be inoculated amid a steady rise in new variant cases.
• Elsewhere there were reports in the Yonhap that Samsung Electronics Vice Chairman Lee Jae-yong will face a formal court trial on charges of illegally taking propofol injections. Early this month, prosecutors indicted the de facto leader of Samsung Group, now in jail for bribery and corruption, on a "summary offense" in connection with his alleged use of propofol, which is illicit to prescribe or consume in South Korea other than for the purpose of specific treatments.
• Data earlier showed industrial output fell 0.7% on the month in May against an expected expansion of 0.7%, the annual figure rose 15.6%, below estimates of 18.3%. Both figures were above the May print, however. The cyclical leading index printed 0.4 in May from 0.5.