Barclays: SK Hynix’s US Listing May Support the Korean Won in the Short Term

Odaily Planet Daily News Barclays analysts said in a report that SK Hynix’s listing in the US could provide some support for the Korean won in the short term. Part of this support may come from hedging activities and the eventual conversion of some of the proceeds into Korean won for domestic investment. The recent rise in the Korean won suggests that some pre-hedging activities have already been priced in.

Meanwhile, if the South Korean semiconductor company finances a significant portion of its domestic investments in the future through repatriated offshore assets or overseas earnings, it would create additional demand for the Korean won and support the currency. (Jin Shi)