Wednesday, July 02, 2008
Bank of Korea intervention
Apparently BOK sold about $3b into the market yesterday to prop up the Korean Won. Inflation is out of control in my home country, and it will be interesting to see how far the government will go to support the Won. Maybe the government doesn't really understand economics, but Korea's inflation is a product of printing money to buy dollars so that exporters (Samsung, LG, Hyundai) can benefit from a cheap Won. I remember when the Won was at 900 last year, people were complaining about its negative impact on exports...now that the Won is above 1000, people are complaining about inflation. Frickin make up yo mind foo.
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