Here’s this week’s forecast for the Korean won-US dollar exchange rate from Hana Bank.
The weekly forecast is neither a guarantee nor a promise of accuracy and is intended to give our readers information on the forecasted foreign exchange rate from the bank each week.
Check out the most up-to-date foreign currency exchange rates for over 40 currencies here.
Trading range: 1,190 – 1,200 KRW per 1 USD
This week’s forecast:
Although the United States’ 2Q GDP growth rate marked a record low, the dollar’s low purchase price is expected to push the KRW-USD exchange rate slightly upward. Furthermore, high dollar payment demand is forecast to push the exchange rate above the 1,190 won level this week.
Last week’s trend:
The Korean won-U.S. dollar (KRW-USD) exchange rate opened the week down due to foreigners’ increased net selling on the Seoul bourse as well as a bearish greenback stemming from weak U.S. jobs indicators.
As the U.S. announced additional pump-priming policy, the market’s risk-on sentiment strengthened, and the KRW-USD exchange rate continued along its downward trend. Later on, the rate turned upward, moving in line with the weakened Chinese yuan.
At mid-week, while the dollar remained bearish, foreigners’ net selling on the Seoul bourse increased and the KRW-USD rate turned downward. At the end of the week, the exchange rate continued to drop as the U.S. central bank displayed a dovish stance by announcing a rate freeze on its key short-term interest rate, while South Korea and the U.S. extended their currency swap.
The KRW-USD rate closed the week up as the greenback gained strength, but it soon turned weaker due to a plunge in the U.S. growth rate.
Disclaimer: Neither Hana Bank nor Haps Korea shall accept any liability for any damage or loss, including but not limited to profit or loss, that may arise either directly or indirectly from use of this information.