S.Korea’s foreign exchange trading falls in July

SEOUL, Aug. 11– South Korea’s foreign exchange trading fell in July on lower demand for the U.S. currency and foreign exchange derivatives, central bank data showed Thursday. The daily average transaction of foreign currencies and foreign exchange derivatives in the local inter-bank market came to 30.94 billion U.S. dollars in July, down 1.91 billion dollars…

SEOUL, Aug. 11 (Xinhua) — South Korea’s foreign exchange trading fell in July on lower demand for the U.S. currency and foreign exchange derivatives, central bank data showed Thursday.

The daily average transaction of foreign currencies and foreign exchange derivatives in the local inter-bank market came to 30.94 billion U.S. dollars in July, down 1.91 billion dollars from the previous month, according to the Bank of Korea (BOK).

It was attributable to weaker demand for the U.S. currency and FX swap, the daily average trading of which declined 17.9 percent and 6.1 percent respectively.

Foreign capital worth 160 million dollars flowed into the local stock market, while the domestic bond market posted a net foreign fund inflow of 3.54 billion dollars last month.

The daily average volatility in the won/dollar exchange rate retreated to 0.4 percent in July from 0.53 percent in the previous month.

Premium on credit default swap, which measures credit risk for the five-year government bonds, averaged 50 basis points in July, up from 48 basis points in the prior month. Enditem