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  Symbol Bid Ask
EURUSD 1.2889 1.2892
GBPUSD 1.5251 1.5254
USDJPY 102.51 102.54
USDCHF 0.9676 0.9679
USDCAD 1.0249 1.0252
EURJPY 132.13 132.16
EURCHF 1.2473 1.2478
GBPJPY 156.3 156.37
GBPCHF 1.4758 1.4765
GOLD 1400.96 1401.56

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Research: Buy a 1m Jpy/krw Put


Quotes from Barclays Capital:

-Buy a 1m JPY/KRW put (strike: 13.83, 25-delta) for 55bp JPY (ref: spot 14.09).Current spot: 14.07

Rationale:ƒ KRW set to benefit from firm US and Chinese final goods demandƒ. Activity growth recovering, supported by tech cycle upswingƒ. Inflation expectations are elevatedƒ KRW is cheap according to our model.

Political risks passed: inauguration of Kim Jung Un; North Korean missile launch and South Korean parliamentary electionsƒ. We remain bearish JPYƒ

Key risk to the trade: North Korea responds with further "sabre-rattling". BoK intervenes to cap won strength.

Published: 2012-05-03 09:10:00 UTC+00


See also: Current support and resistance levels
EUR/USD
GBP/USD
USD/JPY
GBP/JPY
EUR/CHF
AUD/USD
May 21 at 5:32 UTC
 
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