Market News
Bank of Korea says wary of FX volatility on trade war risks - REUTERS
SEOUL, March 13 (Reuters) - South Korea's central bank said on Thursday that U.S. President Donald Trump's escalating trade war could drag on longer than expected and increase the risk of capital outflows while also raising volatility in the dollar-won market.
"Considering that the value of the won is greatly affected by fluctuations in the value of the yuan as well as the dollar, there is a possibility that the volatility of the dollar-won exchange rate will increase significantly," the Bank of Korea (BOK) said in a monetary policy report, which predicted that a trade war between the world's two largest economies could intensify.
