South Korea's 1-Year FX Swap Points Rise 0.20 Won on July 10 Amid Rate Hike Expectations

According to Yonhapinfomax, South Korea's 1-year FX swap points closed at minus 14.60 won on July 10, up 0.20 won from the opening, while shorter-dated instruments weakened. The 6-month maturity held flat at minus 7.60 won, and the 3-month maturity fell 0.15 won to minus 3.75 won. Market participants attributed the longer-dated strength to expectations of a potential rate hike by the Bank of Korea at next week's monetary policy meeting, which limited position-building in longer tenors despite an estimated $2 billion in dollar sales by Hanwha Ocean in the forward exchange market.
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