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: 1,225 – 1,240 KRW per 1 USD
This week’s forecast:
While contrasting forecasts about a coronavirus vaccine are emerging, optimistic expectations are persisting. Moreover, an oil producers’ agreement to cut oil production is expected to help oil prices recover, while also weakening the greenback.
Furthermore, higher month-end dollar selling volume by exporters may push the KRW-USD exchange rate down, but news about Kim Jong-un’s health, as well as concerns about the U.S.’s 1Q growth rate, is expected to limit the rate’s bottom line.
Last week’s trend:
The Korean won-U.S. dollar (KRW-USD) exchange rate opened the week stronger due to expectations about coronavirus vaccine trials and the U.S. resumption of economic activity.
Nonetheless, negative Chinese economic indicators, as well as plummeting oil prices, turned the KRW-USD rate upward. Moreover, as global oil prices went negative and questions about North Korean leader Kim Jong-un’s health emerged, risk-averse sentiment increased. At mid-week, risk-averse sentiment dominated as oil prices continued to plummet, but the South Korean government’s decision to submit a supplementary budget for the third time-limited the KRW-USD exchange rate’s upward trend.
At the end of the week, global oil prices rebounded due to rising tensions in the Middle East, while the global financial market surged as well. Due to issues such as the difficulty of developing a coronavirus vaccine, the European Union’s failure to reach a consensus on a coronavirus recovery plan, and foreigners’ net selling on the domestic bourse, the KRW-USD exchange rate closed the week up.
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.