| View previous topic :: View next topic |
| Author |
Message |
john
Joined: 15 Jan 2003
|
|
| Back to top |
|
 |
afsjesse
Joined: 23 Sep 2007
Location: Kickin' it in 'Kato town.
|
 Posted: Thu Jul 10, 2008 5:24 pm Post subject: |
 |
|
| It has improved because the Central Bank of Korea has sold 2 billion dollars of its Dollar reserve. This helps to inflate the weak WON. Enjoy it while it lasts! |
|
| Back to top |
|
|
regicide
Joined: 01 Sep 2006
Location: United States
|
| Posted: Thu Jul 10, 2008 5:27 pm Post subject: |
|
|
| afsjesse wrote: |
| It has improved because the Central Bank of Korea has sold 2 billion dollars of its Dollar reserve. This helps to inflate the weak WON. Enjoy it while it lasts! |
What the locals don't realize is that the greedy exporters want a weak won so they get more local currency from the dollars they earn abroad.
Problem is that the things they import are going to cost more won. ( when they buy dollars with them)
With commodities prices soaring, they may finally be doing something about it.
The trend should continue. ( if they wake up to this fact) |
|
| Back to top |
|
|
jackson7
Joined: 01 Aug 2006
Location: Kim Jong Il's Future Fireball
|
| Posted: Thu Jul 10, 2008 5:28 pm Post subject: |
|
|
| The BOK has over 250 billion in US reserves. I think they'll make a strong stand to try and prop it up around 1000 to the dollar for a while...IMF anyone? Personally, I'm not betting on it getting any better and sending home loads in the next few weeks, if the intervention lasts that long. |
|
| Back to top |
|
|
cedarseoul
Joined: 16 Feb 2008
Location: nowon-gu
|
| Posted: Thu Jul 10, 2008 5:36 pm Post subject: |
|
|
| in addition to the foreign reserve intervention, a slight dip in oil prices earlier this week helped to prop up support for the won. however, as afsjesse suggested, this is a temporary rally in the face of longer-term weakness. i'd wire soon. |
|
| Back to top |
|
|
KYC
Joined: 11 May 2006
|
| Posted: Thu Jul 10, 2008 5:48 pm Post subject: |
|
|
was 1022 a few days ago.
Do you guys think it'll be aroudn this rate for the next 2 weeks? I can't send money home today...I need it to buy my ticket back home. Grrr 2million won for a ticket home!! |
|
| Back to top |
|
|
aka Dave
Joined: 02 May 2008
Location: Down by the river
|
| Posted: Thu Jul 10, 2008 5:55 pm Post subject: Re: won at 998 to 1 USD? why? |
|
|
About 3 days ago on both the Korea Times and Korea Herald, there were huge headlines:
THE GOVERNMENT ADOPTS A STRONG WON POLICY.
So the government is doing this, in my opinion, because importing oil has become prohibitively expensive with a weak won. |
|
| Back to top |
|
|
citizen erased
Joined: 06 Apr 2008
|
| Posted: Thu Jul 10, 2008 9:07 pm Post subject: |
|
|
| regicide wrote: |
| afsjesse wrote: |
| It has improved because the Central Bank of Korea has sold 2 billion dollars of its Dollar reserve. This helps to inflate the weak WON. Enjoy it while it lasts! |
What the locals don't realize is that the greedy exporters want a weak won so they get more local currency from the dollars they earn abroad.
Problem is that the things they import are going to cost more won. ( when they buy dollars with them)
( if they wake up to this fact) |
uhhhh..... no.
the central bank selling dollars helps some but this isnt a huge amount of money in central bank terms. it has more to do with the current stall in the dollar slide. the won has been moving similarly to movements in the Dollar. there are more currencies in the world than just these two, so it is possible for relative strength to occur in both, this is what is happening now, with a slight advantage for the Won. |
|
| Back to top |
|
|
KAMAKAZI
Joined: 14 Mar 2008
Location: Jamshil
|
| Posted: Thu Jul 10, 2008 9:46 pm Post subject: |
|
|
| KYC wrote: |
was 1022 a few days ago.
Do you guys think it'll be aroudn this rate for the next 2 weeks? I can't send money home today...I need it to buy my ticket back home. Grrr 2million won for a ticket home!! |
2 million won?????
where do you live???? |
|
| Back to top |
|
|
aliciarc416
Joined: 25 Jun 2008
|
| Posted: Thu Jul 10, 2008 9:53 pm Post subject: |
|
|
| yeah i just noticed this too. I am suppose to go to Korea in Aug and i have been studying conversion rates, so i can see how much it will cost to send a certain amount home every month. wonder how long it will last, perhaps i have decided to leave the USA to leave aboard for a few years at the right moment. |
|
| Back to top |
|
|
xingyiman
Joined: 12 Jan 2006
|
| Posted: Fri Jul 11, 2008 12:40 am Post subject: |
|
|
| KAMAKAZI wrote: |
| KYC wrote: |
was 1022 a few days ago.
Do you guys think it'll be aroudn this rate for the next 2 weeks? I can't send money home today...I need it to buy my ticket back home. Grrr 2million won for a ticket home!! |
2 million won?????
where do you live???? |
Probably USA. Last I checked thats what the flights were going for. |
|
| Back to top |
|
|
KAMAKAZI
Joined: 14 Mar 2008
Location: Jamshil
|
| Posted: Sat Jul 12, 2008 6:24 am Post subject: |
|
|
| xingyiman wrote: |
| KAMAKAZI wrote: |
| KYC wrote: |
was 1022 a few days ago.
Do you guys think it'll be aroudn this rate for the next 2 weeks? I can't send money home today...I need it to buy my ticket back home. Grrr 2million won for a ticket home!! |
2 million won?????
where do you live???? |
Probably USA. Last I checked thats what the flights were going for. |
i guess if 2 mil is for first class or some upgraded seat, then maybe. but if youre wanting a round trip ticket to new york for example, they can be had for around 800-900k plus tax. |
|
| Back to top |
|
|
jvalmer
Joined: 06 Jun 2003
|
| Posted: Sat Jul 12, 2008 6:49 am Post subject: |
|
|
| KAMAKAZI wrote: |
| xingyiman wrote: |
| KAMAKAZI wrote: |
| KYC wrote: |
was 1022 a few days ago.
Do you guys think it'll be aroudn this rate for the next 2 weeks? I can't send money home today...I need it to buy my ticket back home. Grrr 2million won for a ticket home!! |
2 million won?????
where do you live???? |
Probably USA. Last I checked thats what the flights were going for. |
i guess if 2 mil is for first class or some upgraded seat, then maybe. but if youre wanting a round trip ticket to new york for example, they can be had for around 800-900k plus tax. |
You joking? Cheapest flight I've seen for this time of year into US or Canada is around 1.5 million. |
|
| Back to top |
|
|
hogwonguy1979
Joined: 22 Dec 2003
Location: the racoon den
|
| Posted: Sat Jul 12, 2008 7:05 am Post subject: |
|
|
they cant defend it forever plus they dont really have $250b in forex reserves to defend it forever, korea has about $150b in short term debt to cover so they only have about $100b to defend the won with. its a heck of a lot more than they had in 97 so they can withstand a serious attack by Soros and boys but if the current account deficit keeps getting higher that will hurt things also
throw in the mess with fannie mae and feddie mac in the states, stagflation, iran acting up, demand for oil in china and india increasing causing oil to continue its climb and you have the perfect storm for the korean economy, all you have to do is look at the net selling by foreigners in the korean stock market, 25 straight days and counting.
buckle your seatbelts, its going to be a bumpy ride |
|
| Back to top |
|
|
Horangi Munshin
Joined: 06 Apr 2003
Location: Busan
|
| Posted: Sat Jul 12, 2008 9:27 pm Post subject: |
|
|
| jvalmer wrote: |
| KAMAKAZI wrote: |
| xingyiman wrote: |
| KAMAKAZI wrote: |
| KYC wrote: |
was 1022 a few days ago.
Do you guys think it'll be aroudn this rate for the next 2 weeks? I can't send money home today...I need it to buy my ticket back home. Grrr 2million won for a ticket home!! |
2 million won?????
where do you live???? |
Probably USA. Last I checked thats what the flights were going for. |
i guess if 2 mil is for first class or some upgraded seat, then maybe. but if youre wanting a round trip ticket to new york for example, they can be had for around 800-900k plus tax. |
You joking? Cheapest flight I've seen for this time of year into US or Canada is around 1.5 million. |
That sounds about right. Tax can add 50% to the ticket price!!! |
|
| Back to top |
|
|
|
FAQ
Search
Memberlist
Usergroups
Register
Profile
Log in to check your private messages
Log in
