KRW falls on expectations of Fed rate hike (June 6)

In the Asian session on Tuesday (June 6), the latest price of the U.S. dollar index was 103.98, and the opening price was 104.01. Economist Min Gyeong-won said the won could erase recent gains as U.S. Treasury yields rose along with the dollar as U.S. jobs data supported the possibility of another rate hike in July.

The South Korean won fell after stronger-than-expected U.S. economic data backed the possibility of another rate hike by the Federal Reserve, dampening global risk appetite. The dollar rose 0.2 percent against the Korean won to 1,307.95 after falling more than 1.5 percent in the previous two sessions. The 200-day moving average of USD/KRW is currently around 1327.68 and the 100-day moving average is at 1300.44.