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Photo = FSS |
[Alpha Biz= Reporter Kim Sangjin] On the 20th, financial regulators will gather executives from domestic and foreign banks responsible for foreign exchange to review risks in the forex sector. The meeting is scheduled to discuss the impacts of external uncertainties such as the upcoming U.S. presidential election, China’s economic stimulus measures, and ongoing geopolitical risks.
According to the financial sector, the Financial Supervisory Service (FSS) will convene the meeting, chaired by Park Chung-hyun, Vice Chairman of Banking Supervision, to evaluate the liquidity situation in foreign exchange markets. The FSS will hear banks' projections for the forex and foreign currency markets, discuss the impact of rising exchange rates, and review response strategies.
Additionally, the FSS plans to assess the liquidity status of individual banks and discuss their management plans.
Currently, the FSS is evaluating the foreign exchange market as stable, with smooth refinancing and good dollar liquidity. However, with the possibility of further increases in the exchange rate, the agency is closely monitoring the market for potential risks.
Banks are also re-evaluating their foreign currency procurement strategies, especially with the U.S. presidential election approaching.
The won-dollar exchange rate has recently hovered above the psychological threshold of 1400 won. On the 5th, it was around 1370 won, but after Donald Trump’s presidential election victory, the dollar surged, briefly surpassing 1410 won on the 13th, marking a two-year high.
In addition to forex market monitoring, financial regulators are also strengthening measures against volatility in the cryptocurrency market, focusing on unfair trading activities and the spread of rumors and false information.
Alphabiz Reporter Kim SangJin(letyou@alphabiz.co.kr)
