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: 1,240 – 1,320 KRW per 1 USD
This week’s forecast:
The effects of the U.S.-Korea currency swap deal were short-lived, and NYSE volatility is expected to increase this week. As the U.S. and European countries close their borders, domestic and global financial market volatility is forecast to further expand due to concerns about sluggish economic activity, marked by less consumer spending. Given such conditions, the KRW-USD exchange rate is expected to head toward the 1,300 level this week.
Last week’s trend:
Despite the Fed’s 2nd emergency rate cut, of 100 basis points, the NYSE fell nearly 13% and the Korean won-U.S. dollar (KRW-USD) exchange rate opened the week up. The KRW-USD rate’s upward trend continued, as greenback demand soared amid a shortage in the global market.
At mid-week, though Korean financial authorities took measures to stabilize the market, including raising the cap on foreign exchange forward positions at banks, the market continued to be unstable and the Dow Jones Industrial Average (DJIA) remained below 20,000.
At the end of the week, amid persisting fears about the coronavirus crisis, market stabilization measures were deemed ineffective as global demand for dollars grew. The KRW-USD rate soared, hitting its highest level in recent days, before turning down slightly after Korea and the U.S. signed a currency swap deal.
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.