(Seoul = Yonhap Infomax) Reporter Noh Yo-bin = Foreign exchange dealers in the Seoul foreign exchange market expected the dollar won exchange rate to fluctuate around 1,380 won on the 19th.
Dollar strength appears to be taking a break as the US inflation expectations index came out lower than expected last week. In addition, the USD-KRW rate was capped because the volume was confirmed, which is assumed to be due to a really strong intervention by the foreign exchange authorities.
Before the Federal Open Market Committee (FOMC), one of the biggest events of the week, it seems that the attempt to raise the level, which was once close to 1,400 won, has been defeated. However, the level reduction is expected to be limited due to concerns that the FOMC’s interest rate hike could be higher than originally expected.
Last night, the price of the one-month contract won by a dollar was 1,384.00 won in the New York Forward Difference (NDF) market. Considering the recent one-month exchange point (-1.15 won), it is 2.85 won lower than the previous Seoul foreign exchange market spot price (1,388.00 won).
The expected range of the USD-KRW exchange rate is expected to be 1,377.00 to 1,390.00 won.
◇ Bank dealer
The dollar index fell last week following US inflation expectations. As the cautious sentiment before the FOMC during the week and the vigilance of the foreign exchange authorities are working, it is expected that the FOMC will resume after the FOMC ends after staying in the middle level 1,380 won. As demand for payments continues to emerge, it remains to be seen when the nego volume will be released ahead of a weekly meeting with exporters.
Expected range: 1,380.00 ~ 1,389.00 won
◇ B bank dealer
The dollar-earned exchange rate fell sharply at Friday’s closing price due to government intervention. Since then, the NDF has risen, but has fallen back to the achieved level of 1,380. There is no major material ahead of the FOMC as the authorities continue to block the peak during the day. It seems that efforts to raise 1,400 gained by confirming intensive intervention will be limited.
Expected range: 1,382.00 ~ 1,390.00 won
◇ C bank dealer
The end of the previous trading day is at the top of the dollar today. We expect the range to be slightly off the range of 1,400 won. Here, it remains to be seen whether the level will confirm on the corrective flow or whether real demand for the dollar will flow in. It seems difficult to bring the level of nego volume down, but we pay attention to how the government’s intervention stance will appear at the 80 level achieved. It seems unlikely that the level will fall deeply ahead of the US FOMC, but the euro has regained parity and the yuan has fallen slightly. It appears to start at around 1,380 won in the early to mid range.
Expected range: 1,377.00 ~ 1,387.00 won
This article was submitted at 08:41, two hours earlier on the Infomax financial information terminal.
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