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: 1,095 – 1,110 KRW per 1 USD
This week’s forecast:
Amid the continued worldwide spread of the coronavirus, sluggish U.S. consumption indicators are expected to strengthen the market’s preference for safe-haven assets. Moreover, a possible drop in domestic stock prices, followed by rising U.S. Treasury yields, may influence foreigners’ net selling on the domestic bourse and push the KRW-USD exchange rate upward.
Last week’s trend:
The Korean won-U.S. dollar (KRW-USD) exchange rate opened the week up, reflecting the bullish greenback amid rising U.S. Treasury yields. Later, the incoming Biden administration’s expanded stimulus plan brought expectations of economic growth, and the greenback remained bullish.
At mid-week, the Federal Reserve’s tapering talk along with the Biden administration’s large-scale stimulus package contributed to a dramatic rise in U.S. Treasury yields, and the KRW-USD exchange rate continued its upward trend.
At the end of the week, the Bank of Korea Monetary Policy Board’s interest rate decision had limited influence on the domestic market, and growing net selling by foreigners on the domestic bourse turned the KRW-USD rate slightly downward, approaching the 1,100 won level.
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.