Asian FX: KRW and TWD to strengthen the most – ANZ

Economists at ANZ Bank expect KRW and TWD to be the best Asian currencies in the coming year.

Sentiment towards TWD might be cautious ahead of January’s presidential election

With the upswing in the global semiconductor cycle underway, we expect the currencies of the technology-export-oriented economies to outperform.

We forecast KRW and TWD to strengthen the most, with our year-end target for USD/KRW at 1,220 and for USD/TWD at 30.20.

Sentiment towards TWD might be cautious ahead of January’s presidential election, but the focus is likely to turn towards the improving export outlook once that is out of the way.