Korean Won’s Correlation With Yen Jumps Before BOJ
- BOJ is widely expected to end its negative-rate policy Tuesday
- Yen-won correlation reached highest in more than nine months
The 60-day correlation between the won and yen rose to 0.35 this month.
Photographer: SeongJoon Cho/BloombergThis article is for subscribers only.
The South Korean won’s correlation with the yen has risen to the highest level in more than nine months as traders await a potentially historic policy decision by the Bank of Japan.
The currencies of the neighboring nations are moving more in tandem as the BOJ is widely expected to abolish its negative-interest-rate policy when its two-day meeting ends Tuesday. The 60-day correlation between the won and yen rose to 0.35 this month, the highest since May 2023. A reading of 1 would mean the two move in lockstep.