The South Korean won is trading mixed to start the trading week as the nation has officially declared a second wave of the coronavirus pandemic. This comes as one of Asia’s strongest economies is facing a difficult rebound, prompting the government and the central bank to initiate an aggressive fiscal and monetary relief and stimulus program. Can the won maintain its rally? On Monday, the Korea Centers for Disease Control and Prevention (KCDC) say that the country’s second wave has started, stemming from a holiday in May. Although health authorities never really believed South Korea moved on from a first wave, officials note that the national holiday triggered a new wave of COVID-19 infections. KCDC director Jeong Eun-kyeong stated that the experts had anticipated a second wave to emerge in the fall or winter, but relaxed social distancing guidelines and young people visiting nightclubs and bars have likely contributed to the spike. It is believed that the number of rising cases is manageable now, but infection rates could soon hit hundreds per day. South Korea has more than 12,000 confirmed cases and nearly 300 deaths. This comes as the World Health Organization (WHO) recently announced the biggest increase in confirmed COVID-19 cases in two months of 180,000. For the remainder of 2020, the government expects low inflation, zero job growth, and a drop in exports. It will also experience the biggest economic slump since the Asian crisis in the 1990s. The Kospi, South Korea’s top stock index, settled down 0.68% to 2,126.73. The USD/KRW currency pair slipped 0.21% to 1,209.50, from an opening of 1,211.99, at 18:23 GMT on Monday. The EUR/KRW advanced 0.51% to 1,361.590, from an opening of 1,354.82.

SOURCE : https://tradertalks-net.translate.goog/s/8753?_x_tr_sl=auto&_x_tr_tl=en&_x_tr_hl=auto&_x_tr_pto=wapp