A $2 Billion Purchase of Korea Bonds in a Day Creates a Stir
- Net buying was the biggest single-day inflow since June 2015
- Yields have climbed as government prepares virus aid package
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A sudden $2 billion inflow into South Korean bonds in one day is fueling chatter over who’s behind the purchase.
The net buying on Tuesday was the biggest for a single day since June 2015, according to data from the Financial Supervisory Service which doesn’t disclose details such as the location of the funds involved. The inflows could be due to foreign investors reinvesting short-term money or central banks scooping up longer-tenure securities, strategists said.