Foreign Exchange Authorities' Net Sale of $345 Million in Q2

[Asia Economy Reporter Kim Eun-byeol] The foreign exchange authorities sold a net amount of 345 million dollars in the foreign exchange market in the second quarter of this year to stabilize the market, the Bank of Korea announced on the 29th.

According to the '2020 Second Quarter Net Transactions of Foreign Exchange Authorities' data released by the Bank of Korea, the net transaction amount of the foreign exchange authorities in the second quarter was -345 million dollars, significantly reduced compared to the net selling scale of 5.851 billion dollars in the first quarter.

In the first quarter, when the novel coronavirus disease (COVID-19) was spreading, exchange rate volatility was high, but recently, it is interpreted as the exchange rate having stabilized somewhat. At the end of March, the won-dollar exchange rate surged by 61 won compared to the end of last year (December 30, 2019: 1,156.4 won → March 31: 1,217.4 won), and the foreign exchange authorities sold dollars to defend the exchange rate.

The Bank of Korea and the Ministry of Strategy and Finance have been disclosing the difference between the total dollar purchases and total sales by the foreign exchange authorities since March last year. Since the third quarter of last year, the difference has been disclosed quarterly. The figures for the third quarter of this year will be released at the end of December.

This content was produced with the assistance of AI translation services.