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USD/KRW has fallen roughly 200 won in about two months, moving from post-2008-crisis highs in the 1,500s — when 1,600 was openly discussed — to below the 1,400 level, and FX desks are now asking whether authorities will resist further won strength rather than cap it. The transmission is twofold: a stronger won lowers imported-inflation pressure and widens the Bank of Korea's easing room, while also improving unhedged FX returns for foreign investors in KOSPI and Korean bonds, a channel that typically supports domestic risk assets and global risk appetite. Watch for smoothing operations on the downside, National Pension Service hedging flows, and whether DXY weakness persists; a fast dollar rebound would quickly reverse the current inflow narrative.
As a Forex signal, watch whether it changes price action, volatility, or flows around KRW=X, KOSPI, JPY=X.
Original Source: 연합인포맥스
This page is market information analysis, not investment advice.
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