China Outlook Pushes Korean Won to Four-Month High

The won climbed to a four-month high on signs that China, South Korea’s biggest export market, is rebounding after a two-quarter slowdown. Government bonds rose.

Chinese overseas shipments increased 7.2 percent from a year earlier in August, official data showed yesterday, exceeding the median forecast for a 5.5 percent gain in a Bloomberg survey of economists. Foreign investors bought a net $1.48 billion of South Korean equities last week, the most in almost a year, trimming the yearly net outflow to $3.75 billion, exchange data show.

“China’s better-than-expected trade data helps lift market sentiment,” Son Eun Jeong, a currency analyst at Woori Futures Co. in Seoul, wrote in a research note today.

Bloomberg

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.