FX.co ★ South Korean Won Holds Gains on Jobs Data

The South Korean won maintained its position at approximately 1,384 per dollar on Wednesday, sustaining gains from the previous session. This move comes as investors evaluate the latest domestic employment data from July. In South Korea, the unemployment rate slightly decreased to 2.5% in July, marking the second consecutive monthly decline. The total employment figure saw an increase of approximately 171,000 compared to the same period last year. Externally, the US dollar weakened following inflation data which revealed a headline Consumer Price Index (CPI) of 2.7% for July, marginally below the expected figures. This has bolstered the anticipation of a 25-basis-point reduction in the Federal Reserve rate in September. Furthermore, political uncertainties continue to draw attention, especially after the arrest of former first lady Kim Keon Hee on corruption charges—a situation some analysts suggest could adversely affect investor sentiment towards South Korean assets.