MUFG Forecasts Korean Won Appreciation, Dollar-Won Rate to Fall to 1,460 by Q2 2027

According to Japanese investment bank MUFG on June 6, the Korean won is expected to strengthen gradually in the second half of 2026, with the dollar-won exchange rate forecasted at 1,520 won in Q3, declining to 1,500 won in Q4, and further falling to 1,480 won in Q1 2027 and 1,460 won in Q2 2027. MUFG also projects the Bank of Korea will raise its benchmark rate twice in H2 2026, citing stronger-than-expected growth and inflation, with rate hikes anticipated in Q3 and Q4. Supporting factors include Samsung and SK Hynix semiconductor facility investments, AI data center expansion, and rising memory chip prices.
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