Powered by
TOP SECTOR EUR STABLECOIN (0%)
TOP CRYPTO MARKET CAP $0.00T
24H VOLUME $0.00B
BTC DOMINANCE 0.0%
ETH DOMINANCE 0.0%
TOP SECTOR EUR STABLECOIN (0%)
TOP CRYPTO MARKET CAP $0.00T
24H VOLUME $0.00B
Powered by
TOP SECTOR EUR STABLECOIN (0%)
TOP CRYPTO MARKET CAP $0.00T
24H VOLUME $0.00B
BTC DOMINANCE 0.0%
ETH DOMINANCE 0.0%
TOP SECTOR EUR STABLECOIN (0%)
TOP CRYPTO MARKET CAP $0.00T
24H VOLUME $0.00B

South Korean bond yields hit all-time lows against US, weakening the Won

James Carter
James Carter

James Carter

James is a seasoned forex trader and financial analyst with...

Full Bio

James Carter

Share

The yield on Korea’s 10-year government bonds has reached unprecedented lows compared to US Treasuries, exacerbating pressure on the South Korean won. This record-breaking yield gap reflects diverging monetary policies between the Federal Reserve and the Bank of Korea, as well as investor concerns over global economic uncertainties.

With the Federal Reserve maintaining high interest rates to combat inflation, US Treasury yields have climbed, drawing capital away from Korean bonds. In contrast, the Bank of Korea has held its key interest rate steady, prioritizing domestic economic stability. This divergence has widened the yield spread to its largest margin in years, eroding the appeal of the Korean won and contributing to its depreciation against the US dollar.

Analysts warn that the yield disparity could persist as markets anticipate a prolonged period of elevated US interest rates. For South Korea, the lower yields complicate efforts to stabilize the currency and maintain competitiveness in export-driven industries.

Subscribe to our Newsletter

Every week, we’ll send you the latest tips, tricks, reviews and advice on how to trade to a wealthier lifestyle

View more articles by

Related Articles

WTI crude oil prices edge above $69
WTI crude oil prices edge above $69.50 amid escalating trade tensions
Bank of Japan members acknowledge inflation exceeds expectations, signaling continued vigilance
Bank of Japan members acknowledge inflation exceeds expectations, signaling continued vigilance
Tokyo's consumer inflation remains steady in March, surpassing Bank of Japan's target
Tokyo's consumer inflation remains steady in March, surpassing Bank of Japan's target
WTI Crude Oil Price Inches Up Above $69
WTI Crude Oil Price Inches Up Above $69.50 Amid Venezuela Supply Disruptions
Tariff Concerns Weigh on EURUSD, Triggering Market Volatility
Tariff Concerns Weigh on EUR/USD, Triggering Market Volatility